Aged & Community Services Australia (ACSA) welcomes today’s announcement of the new Ministry under new PM Scott Morrison, and the reappointment of Greg Hunt as Minister for Health and Ken Wyatt as Minister for Senior Australians and Aged Care.
"We welcome the continuation of Ministers Hunt and Wyatt in their portfolios. ACSA has been working closely with them to ensure the aged care industry is able to provide the services older Australians want and need now and into the future. We remain committed to collaboration with the Government to respond to the growing demands and costs of aged care," ACSA CEO Patricia Sparrow said.
"The aged care industry is facing a number of challenges. Recent independent StewartBrown financial survey shows that 43% of residential aged care facilities were making a loss at March 2018 compared with 31% in 2015-16. This loss increases to 58% in outer regional and remote facilities.
"The biggest funding shortfalls impact on those in regional, rural and remote (RRR) areas, and those providing care for special needs groups, such as the homeless and full pensioners.
"Sustainable funding is required not only to provide compassionate and quality care, but also so that Australia can meet aged care needs going forward.
"While there are a range of initiatives underway, none of them deal with the increasing and significant financial challenges aged care providers are currently facing. Without immediate action the economic fundamentals that underpin sustainable care will continue to erode.
"In addition, as 40% aged care jobs are regionally based they underpin the economies and communities in those areas of Australia.
"The aged care peak bodies are proposing a funding injection of $675 million in 2018-19 to bridge the funding gap. Additional support is required for RRR area so they can continue to deliver quality services as an important element of local regional infrastructure.
"With 108,000 people on the waiting list for Home Care Packages (HCPs), we also need a review of the overall level of investment to ensure the roll-out of additional HCPs keeps up with the actual numbers of people waiting for them.
"We are also asking for an additional $10 million per year for those looking after the homeless for their more challenging needs and to ensure they receive safe, secure and compassionate care and support.
"In his first speech it was pleasing that PM Morrison said that aged care was one of his priorities. We look forward to continuing tackling these significant and fundamental challenges under the leadership of Prime Minister Scott Morrison and Ministers Hunt and Wyatt."
[1] Australian Government, Department of Health, Report on the Operation of the Aged Care Act 1997, November 2017. ---
