The Aged Care Ministerial Advisory Group has today released its independent report, A place to grow old: Securing the future of aged care. The report recommends major structural reform to provide a better, more integrated care system for older New Zealanders and their families, the Group's Chair Hon David Cunliffe said today.
'Every New Zealander deserves to age well - with dignity and choice - but that won't happen unless we fix the existing system, which is fragmented, hard to access, and underfunded,' Mr Cunliffe says.
'While many older people receive good care, pressures have been building for years: we now have a system that is outdated and unaffordable. The cracks are starting to show in bed shortages, some services closing their doors, and some carers unable to cope. As our population ages, those pressures will only multiply, and costs are expected to nearly double in the next 20 years.
'These shortages would mean older people suffer and families struggle, general practices are strained and hospitals are overcrowded, leading to longer waitlists and poorer health outcomes across the country. This is not the future New Zealanders want,' Mr Cunliffe says.
'The Government set up this independent Ministerial Advisory Group to find solutions to build an aged care system that it is stronger, fairer and more affordable. This report sets out a package of practical and integrated reforms to support older people to live and age well so they receive the right care, in the right place, at the right time.
'This includes a more integrated care pathway, greater support to help more people live at home for longer, a new approach to how people contribute toward their care costs, and targeted funding to help build more standard residential beds.
'The Advisory Group's analysis estimates these changes would improve health and wellbeing outcomes and avoid unnecessary growth in taxpayer's costs by just over $830 million per year by 2037/38,' Mr Cunliffe says.
The report includes 40 recommendations across the following reform areas:
- Shifting to an integrated, people-centred system
- Better services to support ageing well in place
- More effective contracting and regulatory settings
- Funding a system that meets people's needs
- Rebalancing contributions towards costs for a sustainable system
- Implementing and delivering major systemic change.
'Many older people want to remain independent and close to family, while having the confidence that formal care will be there if they need it. This means scaling and enhancing in-home care, better support for carers and whānau, and creating a pipeline of new beds,' Mr Cunliffe says.
'We don't have all the answers, but one truth we've faced is the potential cost to Kiwis. We can't escape the facts that New Zealand's population is ageing, and care costs are climbing. Unless we rebalance how costs are shared, aged care will not be affordable in the future. Those who can contribute towards the costs of their own care should do so, fairly and transparently, so the system is still there for our children and grandchildren when their time comes.
'We recommend that governments commit to the full structural reform programme as set out in our report. Our proposed changes are about creating a high-quality, integrated aged care system to more effectively meet people's needs and reduce costs over time. These reforms would require investment from governments upfront but would be far better in the long run for older New Zealanders, taxpayers and the country overall.
'Supporting our older people to age well with dignity and choice - today and into the future - is achievable if we act with urgency and sustained commitment,' Mr Cunliffe says.
To read the full report, go to A Place to Grow Old: Securing the future of aged care.
