Healthy Ageing

Aged Care - a challenge for the nation

By Dr Peter FordBy Dr Peter Ford

The AMA Committee for Healthy Ageing recognises the direct impact that inefficient and poorly funded aged care services can have on the whole health care system.

It is essential that older Australians are able to access affordable and appropriately resourced residential aged care services as an integral part of the broader health care system in Australia.

In recent times, a number of independent reviews have reported that the current Commonwealth funding contribution for aged care threatens the financial viability of the residential aged care sector and is inadequate to provide the services required, meet increased costs such as wages, and implement the expansion needed to meet future demand. The residential aged care sector has not taken up additional places offered by Government, indicating development of residential aged care facilities is no longer deemed viable under current funding arrangements.

As many of you will know first hand, proper funding of aged care facilities and services is important in ensuring older Australians receive care in the most appropriate environment. Recent estimates by the National Health and Hospitals Network show that up to 340,000 people per year are unnecessarily admitted to public hospitals due to a lack of palliative or sub-acute services such as rehabilitation, geriatric, and psychogeriatric care.

In my own experience, I often see the inappropriate use of hospital beds because patients can’t get access to a bed or timely access to medical care in an aged care facility.

I also see this happen when carers can’t get emergency access to Government-subsidised respite care for their loved one.

The AMA has submitted a proposal to the Government for medical practitioners to admit a patient who does not have an Aged Care Assessment Team  assessment into Government-subsidised respite care in emergency circumstances. This proposal has the support of the Aged Care Association Australia.

The fact that the number of older Australians is set to double by 2030 and more than quadruple by 2050, means the Federal Government must begin its aged care policy development and planning now. The Government has the benefit of a comprehensive report from the Productivity Commission inquiry into Caring for Older Australians.

The AMA Position Statement on Funding of Residential Aged Care offers principles that should underpin any new funding model. It should:

  • provide universal access for every Australian to the basic standard of residential aged care services according to their needs, regardless of their ability to pay;
  • spread the costs for those who need longer than average residential aged care;
  • permit individuals to choose their provider and to pay for additional or higher quality services if they choose; and
  • provide certainty to residential aged care providers and is sustainable for future generations.

There is no doubt that funding of residential aged care now and into the future in a fair and sustainable way is a complex and emotive challenge for the nation. The AMA has made several submissions to highlight the critical connection between properly funded aged care services and an efficient and quality health care system.

The AMA Position Statement on Funding of Residential Aged Care is available on the AMA’s website at www.ama.com.au/node/7322.

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