Aged Care Taskforce Report CEDA Statement

CEDA

CEDA Chief Economist Cassandra Winzar says:

"These recommendations offer a sensible and equitable framework to develop a financially sustainable aged-care system.

"Australia won't be able to provide quality care for older people without a financially sustainable system that can attract the additional investment required.

"The report is right to highlight the need for intergenerational fairness in how we approach aged-care funding.

"The Government should continue to fund the care element of aged-care fees, and provide a safety net for those who cannot afford to fund their own care, such as those on a full aged pension.

"But it is reasonable that, where they can afford it, older Australians contribute more to their care through paying for daily living costs such as cleaning, food, laundry, activities and travel.

"Doing this would allow providers to offer more choice and flexibility, while reflecting the reality that these services are ordinarily paid for by individuals in their everyday life.

"The recommendation to introduce a cooling-off period and regular reviews of those costs is an important consumer protection that should ensure these fees match the needs of a resident throughout their time in care.

"While the Government has indicated it won't change how the family home is included in means testing for aged care, this should be given further consideration. This would also treat homeowners and renters more equitably.

"The aged-care sector desperately needs more funding. Many providers are struggling to get enough workers. Some are operating at just 50 per cent capacity and some have closed down altogether. People are also being held in hospital due to the lack of beds.

"Right now, there are very few homes in the pipeline to be built even as demand for beds is rising.

"While outside the scope of this taskforce, we strongly endorse the need for more to be done to boost workforce retention and attraction in the sector given the importance of the workforce to delivering quality care.

"More also needs to be done to address the interaction between aged care and the healthcare system.

"With an ageing population and more people requiring care services, it is critical that we improve the quality and quantity of care for older Australians."

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