ALGA Budget Brief 2009-10: A local government perspective

Fact sheet : Health and ageing

Doctor holding stethascope

BUDGET HIGHLIGHTS

ALGA's analysis of key points in the 2009-10 Federal Budget from a local government perspective.

Healthcare system:

The 2007-08 Federal budget placed a significant emphasis on addressing chronic disease in the community and to improve health services for those most in need.

Key health initiatives include:

  • $175.6 million for capital infrastructure to support training of the future health workforce;
  • establishment of a National Workforce Agency – to better coordinate and expand capacity for clinical training across workforce settings.

Preventative health:

The 2009-2010 Budget contains the single largest investment ever made in health promotion in Australia – focused on tackling tobacco, alcohol and obesity, specifically:

  • in partnership with the state and territories, $872.1 million will be invested over 6 years in preventing lifestyle risks that cause chronic disease; and
  • the establishment of a national preventative health agency to advise Australian governments on preventative health programs (as suggested by the National Health and Hospitals Reform Commission, the Preventative Health Taskforce and the 2020 Summit).

Rural health incentives and infrastructure:

A $134.4 million package of measures has been announced to improve rural and remote workforce shortages, particularly to assist supply health professionals in very remote areas. Almost 500 communities will become eligible for rural incentive payments for the first time. Immediate investment of $13.9 million on 40 rural and regional projects to improve essential health infrastructure will benefit a numerous rural councils.

Aged and Community Care Funding:

  • increased funding to bring direct financial support for aged and community care providers to care for older Australians to a level of $44 billion over the next 4 years
  • $9.9 billion in 2009-10 to support the aged care needs of older Australians, with $7.1 billion of this funding for residential aged care (represents an increase of 9.9% over the estimated level of expenditure for 2008-09)
  • increased total funding for residential aged care in 2009-10 by $728 million for the next 4 years (over the normal increases in aged care subsidies). Residential aged care providers will receive, on average $65,900 per year for each older Australian in their care - $44,600 of this provided by the Commonwealth.

Secure and Sustainable Pension Reforms:

  • new and permanent Carer Supplement to help Australia's 500,000 carers meet the significant financial challenges (delivering increases of $32.49 per seek for singles and $10.14 per week combined for couples);
  • a legislated annual Carer Supplement of $600, replaces previous ad hoc bonuses, to help carers better plan and budget (the first supplement will be paid before July 2009);
  • gradual increase of qualifying age for the age pension to 67 by 2023 (Veterans’ Service Pension qualifying age will remain at 60); and
  • from 20 September 2009, earnings of up to $250 a fortnight will be excluded from means testing, and pensioners who do some part-time work could get an extra benefit of $125 per fortnight on top of any pension increase.

For information about ALGA's analysis of the Budget regarding Health and ageing please contact:

 
Page last updated: 14 May 2009