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Aged care reforms

This page contains information about changes to aged care, participating in aged care reforms, and links for more information.

This webpage was last updated 20 January 2025.

Information on this webpage is based on resources from the Department of Health and Aged Care and the Aged Care Quality and Safety Commission.
Please note that the timing and finalised details of these reforms may be subject to change.

You can stay up to date with latest changes and upcoming planned reforms to aged care by subscribing to Carers NSW monthly eNews and regularly visiting the links below.

The Australian Government has introduced a range of changes to the aged care system to improve the quality and safety of aged care services for all older people and their carers.

Some changes have already been made, and other changes will be coming into effect over the coming months and years, these include:

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More information about these changes can be found below. You can also visit the Department of Health and Aged Care or Aged Care Quality and Safety Commission websites for further details:

A new rights-based Aged Care Act

The Australian Parliament passed the Aged Care Bill 2024 in November 2024, which will come into effect as the new Aged Care Act from 1 July 2025, replacing the current aged care laws.

Aged care

The new Aged Care Act aims to enhance aged care quality and safety, ensuring dignity and respect for older people and their carers. The new Act will aim to:

  • Protect the rights of older people: Introducing a statement of rights will ensure older people are treated fairly and respectfully.
  • Recognise and include carers: Formally recognising the valuable contributions of carers as partners in care, in alignment with the Carer Recognition Act 2010.
  • Increase choice and control: Introducing new supported decision-making arrangements that allow carers to be appointed as supporters, helping older people to make and communicate decisions (replacing previous representative arrangements).
  • Simplify access to aged care services: By creating a safe, single-entry point with clear rules for eligibility and assessment using the new Integrated Assessment Tool (IAT), access to aged care services will be easier and more streamlined.
  • Introduce the new Support at Home Program: The Support at Home Program will streamline in-home aged care, creating one aged care program for all services in the home and community, improving access to services, equipment and home modifications.
  • Ensure culturally safe support for older Aboriginal and Torres Strait Islander peoples: Introducing new First Nations assessments and organisations will ensure culturally safe, trauma-informed and appropriate assessments for older Aboriginal and Torres Strait Islander people and their carers.
  • Improve the quality and safety of care: Strengthening Aged Care Quality Standards that set out provider obligations for greater recognition and partnership with carers in the coordination and delivery of care and services.
  • Increase transparency and accountability: Establishing a new regulatory model that supports older people and their carers access information about service quality and costs to make informed decisions, and provides clear feedback avenues to voice their concerns and make complaints about their care.

You can find out more about the new Aged Care Act below.

Changes to aged care assessments

The aged care assessment process is being streamlined to make it easier for older people and their carers to navigate and access home support and residential aged care services.

Key changes to assessment include:

  • A new single assessment tool, with a dedicated ‘Carer Profile’ section to identify caring relationships and ensure the needs, preferences and capacity of carers are considered in care planning.
  • A single assessment workforce, to streamline assessments and ensure older people and their carers are recognised and supported across all stages of the aged care journey as their needs and capacities change.
  • New First Nations assessment organisations, to provide culturally safe assessment pathway for older Aboriginal and Torres Strait Islander people and their carers.

These changes will help ensure a more seamless and tailored experience to assessment where older people and their carers will no longer need to navigate multiple teams or repeat their stories as their needs change.

A new Support at Home Program

The Australian Government is introducing a new Support at Home Program to support older people live independently in the home and community for the longer. The Support at Home Program will provide a range of in-home and community-based supports

Support at Home will be rolled out in two stages:

Aged care timeline

What supports are covered?

The Support at Home Program will cover:

  • Clinical care (e.g., nursing, occupational therapy)
  • Independence (e.g., personal care, respite care)
  • Everyday living (e.g., cleaning, gardening, meal prep)
  • Care management services (e.g., care planning, service coordination

The following webinar, held by the Department of Health and Aged Care in September 2024 provides an overview and update on the Support at Home Program:

You can also find out more about the new Support at Home Program by reading the Department of Health and Aged Care's Support at Home Program Handbook:

Who pays for aged care under the Support at Home Program?

The Government will cover the majority of aged care costs with co-contributions from older people who can afford it, based on the level of support they need and their personal circumstances.

Hidden fees, including entry and exit fees, are banned for home care to ensure clearer and fairer pricing.

People who are already in aged care will not need to make greater contributions to their care but will continue to pay the same fees under the ‘no worse off’ principle or grandfathering arrangements.

Changes to residential aged care

There are several changes to residential aged care are planned to ensure the sustainability and quality of residential aged care services. These changes include:

  • New means tested contributions for those who can afford it
  • Increased lifetime cap on care fees
  • Changes to Refundable Accommodation Deposits (RADs)
  • Changes to how residential aged care places will be allocated
  • Introduction of mandatory care minutes and 24/7 nursing

You can find out more about changes to residential aged care below.

Changes to aged care quality and safety

To improve the quality and safety of aged care, the Australian Government is implementing several changes to the regulation, funding and administration of the aged care system, including stronger Aged Care Quality Standards (the Quality Standards).

The Quality Standards outline the outcomes and level of care that older people and their carers accessing aged care can expect. The Strengthened Quality Standards are expected to come into effect with the implementation of the new Aged Care Act and includes greater requirements to recognise, support and include carers at multiple stages of the aged care journey.

Strengthened provider obligations relating to carers include:

  • Recognising and respecting the caring relationship and carers as partners in care ​
  • Involving carers in supporting decision-making, planning and coordination of care and services ​
  • Communicating with carers, such as being open, seeking feedback and enabling complaints
  • Inclusion of carers in risk mitigation and disaster planning

Other key changes to quality and safety include:

  • A new regulatory framework including worker screening, provider registration and a Code of Conduct
  • An Inspector General of Aged Care to provide oversight of the regulation, funding and administration of the aged care system
  • Star Ratings to help older people and their carers to compare the quality and safety of aged care services
  • New reporting requirements, such as the Serious Incident Response Scheme (SIRS) and Monthly Care Statements
  • Mandatory care minutes and 24/7 nursing in residential aged care facilities
  • An Independent Complaints Commissioner to promote transparency and accountability of complaints handling
  • Capped administrative and management fees

You can learn more about the changes to aged care quality and safety by clicking the links below:

Image 2 what do these changes mean for carers aged care reforms hub

For Carers

At this point, carers do not need to do anything in preparation for coming changes. However, you may want to stay up to date with information about reforms as more details become available.

If you find the changes to aged care confusing or overwhelming, or you are concerned about how this impacts the older person you care for, you can contact:

Carer Gateway – Practical support for all carers (including counselling, peer support, respite and more).

1800 422 737 (Monday to Friday, 8.00am to 5.00pm local time)

www.carergateway.gov.au

Older Persons Advocacy Network (OPAN) – Assistance for older people to understand the aged care system, register and resolve aged care issues.

1800 700 600 (Monday to Friday 8.00am to 8.00pm, Saturday 10.00am to 4.00pm)

www.opan.org.au

You can learn more about supports available to carers of older people by clicking the link below:

For aged care service providers

It is important for aged care service providers to stay updated and begin preparing for the coming changes as this might require time for planning and implementation. You can find out more about preparing for reforms by accessing the resources below.

Did you know that you can provide feedback on the changes to aged care? The Australian Department of Health and Aged Care invites older people, their carers and service providers to share their thoughts on the aged care reforms through surveys, webinars, and Q&A sessions.

Visit the Aged Care Engagement Hub or subscribe to the Department of Health and Aged Care’s EngAged eNewsletter for current and upcoming opportunities to have your say on the aged care reform.

You can also download the following Carers NSW fact sheets on having your say to support you in sharing your experiences and shaping aged care reforms:

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You can stay up to date with latest changes and upcoming planned reforms to aged care by subscribing to Carers NSW monthly eNews, which includes a quarterly aged care update.

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You can raise issues or concerns about an experience you have had with aged care by filling out the Carers NSW Policy Advice Form below.

This information is used to inform our policy work, including writing submissions and providing feedback to governments on key issues affecting carers.