Aged care industry relieved to escape Budget cuts

The Aged Care Industry Council (ACSA and ACAA) expressed relief that the Federal Government did not cut services to older people in the Budget.

“We were concerned that services to some of the most vulnerable people in our community would have had to be reduced if funding levels fell even further behind rising costs,” said Greg Mundy, chief executive officer (CEO) of Aged and Community Services Australia.

“Extending the Conditional Adjustment Payment for a further year is a step in the right direction but the Government must use this time to put the aged and community care industry on a sustainable footing,” he warned.

The Government’s review – announced in the Budget – must develop an index that accurately measures and funds the costs of providing care and eliminates the need for continual ‘patch up’ solutions.

There are other financial issues that must be addressed in aged care such as a lasting solution to capital raising.

“We need to ensure that care for people living at home, which so far has missed out on this CAP Index funding, can also keep pace with rising costs,” said Rod Young, CEO of Aged Care Association Australia.