Aged Care Act passes parliament — what you need to know
The Department of Health and Aged Care has provided an update regarding the new Aged Care Act and what it means for you.
The Australian Parliament has passed the Aged Care Bill, which means the new Aged Care Act will start from 1 July 2025.
A new Act was the number one recommendation of the Royal Commission into Aged Care Quality and Safety. It will bring a range of improvements for older people. This includes:
- a new regulatory model
- strengthened Aged Care Quality Standards
- a Statement of Rights to ensure older people and their needs are at the centre of the new aged care system.
The new Act also gives older people and their supporters a more independent voice. This will allow them to make their own informed decisions about the care and services they receive and deserve. This includes protections to speak up when not satisfied with a service and preparing providers to handle complaints and feedback effectively.
The new Act also marks the launch of the new Support at Home program. This will help more older people to live in their own home for longer. It will also give them home modifications and assistive technology so they can do so safely.
Those who need to use aged care services earlier in life will also be better off under the new laws. This includes Aboriginal and Torres Strait Islander peoples and those aged 50 to 64 years who are at risk of, or already experiencing, homelessness.
Under the new Act, the government will remain the main funder of aged care. For every $1 an aged care resident contributes, the government on average will contribute $3. There will be:
- no new levies or taxes
- no changes to means testing of the family home
- no one will pay more than $130,000 in non-clinical care costs over their lifetime.
The Department of Health and Aged Care is currently consulting on the new Aged Care Rules, which will give instructions on how the Act will operate.
Feedback will be considered closely and used to refine the rules. We will also ensure the rules incorporate feedback from past consultations.
Find out more information about the public consultations on the department’s website.
