The latest communiqué from the Aged Care Taskforce has presented the strongest evidence yet that the Taskforce will back Plan B, or increased consumer contributions for daily living services and accommodation in aged care, in its Final Report to Government next month.
The missive – from the Taskforce’s meeting in Melbourne on 12 October and released yesterday – reveals that the Taskforce reviewed the feedback received from its public consultation – which showed widespread support for Plan B as well as greater means testing of care services.
“The vast majority of respondents recognised the need to adjust the aged care system to modernise it and make it fair, sustainable and innovative,” it states.
“Most felt those with capacity to contribute should make a fair contribution to their aged care costs, while stakeholders also agreed there is a need to simplify the fee system and make it easier for older people to navigate.”
“Capital gap” to build new aged care beds
The increasing demand for new aged care beds, particularly in regional and remote areas, and growing need for home care services was also up for discussion.
“The Taskforce reflected on the revenue and capital gap in the residential aged care sector, particularly in geographically thin markets,” the communiqué noted.
“This constrains the sector’s ability to deliver the required growth in facilities and services required to meet the expected growth in demand for aged care services over the next one-two decades.
“While currently viable, the sustainability of the home care sector is expected to come under pressure in coming decades as demand increases.”
Interestingly, the notes also show that the Taskforce members considered “financial products to assist people to access their wealth” – suggesting that an expansion of the Government’s Home Equity Access Scheme (HEAS) or other products to help older Australians cover the cost of care could be on the cards.
You can read the communiqué on the Department of the Prime Minister and Cabinet’s website here.
