Media release

Calvary Health Care’s decision to withdraw from Launceston co-hospital proposal

The Australian Medical Association (AMA) Tasmania is extremely disappointed to hear of Calvary Health Care’s decision not to build its co-located hospital with the Launceston General Hospital (LGH) today.

Dr John Saul, President AMA Tasmania, adds, "A modern private hospital is essential to support a robust public health system.

It provides alternative patient care options and reduces the demand on the state- and federal-funded public hospital system, where patients can be treated privately.

It helps to attract and retain staff (doctors, nurses, and allied healthcare workers) who want to work in both private and public, as well as provide additional services that the public system can purchase if required. 

We are particularly concerned about what this redevelopment will mean for Launceston, noting that the existing facilities in Launceston must be near or at the end of serviceable life. 

Launceston provides essential services for the state's northern half - in both public and private hospitals. 

The other key parties involved in this are the private health insurers, and we must ask the question - are the private health insurers paying the private hospitals a fair and reasonable fee to provide healthcare in 2024? Private hospitals must remain sustainable.”

AMA Tasmania calls on the state and federal government to meet with Calvary Health Care immediately to see what support could be provided by the government to ensure this project comes to fruition.

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