Aged Care Act delayed until November

In an open letter to aged care providers, released on June 4, Minister Sam Rae announced the introduction of the new Aged Care Act would be postponed from its original July 1 date.

The newly appointed Minister for Aged Care and Seniors detailed the reasons why the original date would not be met and the public, along with the sector, would have to wait longer for the historic reforms.

“I have spent my first three weeks as your minister listening to older people, their families and carers, aged care providers, workers and others in the sector who have generously shared their views and feedback with me,” Minister Rae wrote.

“I am — and privileged to be — taking on an immensely important job. You have told us you need more time to prepare your clients, support your workers and get your systems ready for the transition to the new Aged Care Act.

“In order to deliver on the intent of these reforms and following careful consideration, the Australian Government has decided to briefly defer the start of the new Act from July 1, 2025, to November 1, 2025.”

He explained that the government would use the time to work with those in the sector, helping to prepare older people for the changes, finalising key operational and digital processes, producing implementation guidance and training.

“The brief deferral will ensure older people accessing home care services continue to receive safe, quality care and have the time to understand the Support at Home changes, including: service agreements, care plans, service lists, prices and contributions to non-clinical services,” he said.

“It will also allow for parliament to consider an amendment bill that will set up the final details of the Aged Care Rules and enable effective operation of the new act.

“We share a commitment to getting these once-in-a-generation reforms right to build a high-quality, sustainable and world-class aged care system for all Australians.

“I will work hand-in-hand with you, your workers and older people to get the new act implementation right for all.”

Minister for Health and Ageing Mark Butler commented on the delays and announced the Support at Home program will commence with the new act.

Until then, the Commonwealth Home Support Programme, Short-Term Restorative Care Programme and Home Care Packages will continue to support older Australians who wish to continue living at home.

“The Albanese Government has made no secret of the fact that this is an incredibly ambitious reform,” Minister Butler said.

“These are once-in-a-generation reforms, which put older Australians at the centre of aged care.

“We want to make sure that all operational, digital and legislative pieces are in place before the rollout starts.

“This brief deferral allows providers to train their staff and have conversations with their clients, get their IT systems ready and prepare operations for an orderly transition.”

The new Aged Care Act represents a development in the Albanese Government’s efforts to reform aged care. It seeks to enhance the quality of care for over 250,000 older individuals in aged care homes through initiatives such as Star Ratings, 24/7 nursing, increased wages for workers, a unified assessment system and improved transparency regarding provider finances.

The Older Persons Advocacy Network, a peak advocacy body, expressed its support for today’s announcement of a four-month delay to the rights-based Aged Care Act.

OPAN Chief Executive Officer Craig Gear OAM said the organisation believed it was the right decision.

“Until now, OPAN has been steadfast in its call for the act to be implemented, as promised, on July 1, 2025, because older people can’t get the aged care they need without it,” the OPAN CEO said.

“However, over the past weeks, it has become increasingly apparent that, while the macro design of the reform is solid, older people don’t have the necessary information to make informed choices at an individual level, particularly around the new Support at Home program.

“We are also concerned that the appropriate systems aren’t yet in place to ensure continuity of care and services for older people during the transition.

“It is for these reasons, OPAN reluctantly supports the delay announced by the Minister for Health and Ageing and the Minister for Disability and the NDIS Mark Butler [sic] and the Minister for Aged Care and Seniors Sam Rae today,” Mr Gear said.

OPAN called for the release of a minimum of 20,000 additional Home Care Packages during the four-month delay to reduce the current 83,000 people waiting up to 11 months to receive the appropriate level of home care.

“Inadequate in-home care support pushes older people prematurely into residential aged care,” Mr Gear said.

More information will be made available on the Department of Health website.

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