Image: Family holding hands

Preparing for future challenges...

One of our greatest challenges is to ensure that future generations will enjoy world–class, universally accessible health care — the quality of care that has helped deliver Australians one of the highest life expectancies in the world.

While Australia's health system serves most Australians well, it is facing a number of serious challenges:

  • An ageing population will substantially increase both health care needs and expenditure, while further constraining our health workforce. The 2010 Intergenerational Report forecasts the proportion of our population aged over 65 will increase from 14 per cent in 2010 to 23 per cent by 2050.
  • Our population is projected to grow from 22 million people today to 36 million by 2050. This will create the need for more health services, new investment in health infrastructure and an expanded health workforce.
  • Chronic disease is a large and increasing burden on our health system. For example, the cost of type two diabetes is projected to increase by more than 520 per cent from 2002–03 to 2032–33.
  • Costs have increased sharply in recent years and are expected to continue growing. The 2010 Intergenerational Report projects health costs to increase from 15 per cent of all Australian Government spending now (4.0 per cent of GDP) to 26 per cent by 2050 (7.1 per cent of GDP).
  • Workforce shortages are already placing limitations on the delivery of health care — particularly in regional and rural Australia.
Photo: Happy family