More community care
The majority of older Australians prefer to live at home. The Government will invest $411 million over five years to provide 7,200 additional community care packages and more community‑based respite care to ensure more aged Australians who choose to do so can continue to reside in their own homes.
Fairer fees and charges
To better support older Australians needing care, new accommodation fees and subsidies will be introduced at a cost of $582 million over five years.
This will encourage greater investment in residential care.
The Government will provide a further $165 million over five years to support fairer income‑tested fees, give full subsidies to residential care places previously operated by state governments, and provide more help for disadvantaged older people in rural and remote areas.
The Government will also introduce, from 20 March 2008, a new Aged Care Funding Instrument which will improve the assessment of care needs and allow better alignment of subsidies.
To assist homes in the transition phase to the new arrangement and ensure funding for existing residents will not be decreased, the Government will spend $394 million over four years to support its introduction.
Further initiatives include expanding eligibility for the Continence Aids Assistance Scheme, at a cost of $99 million over five years.

Aged care places: 1996 to 2011
27 2007‑08 Budget Overview


