A reformed system, funded nationally ...
The Government will take majority funding responsibility for public hospital services and take full policy and funding responsibility for GP, primary health and aged care.
It will dedicate around one‑third of total GST revenue directly to health and hospital services across the country.
From 2014‑15, the Australian Government will fund the lion's share of growth in health and hospital costs directly from its budget.
Becoming the dominant funder of the Australian hospital system
The Australian Government will become the dominant funder of the Australian public hospital system by funding:
- 60 per cent of the national efficient price of public hospital services provided to public patients;
- 60 per cent of costs to support small regional and rural public hospitals;
- 60 per cent of recurrent expenditure on research and training functions undertaken in public hospitals;
- 60 per cent of buildings and equipment for public hospitals; and
- over time, up to 100 per cent of the national efficient price of 'primary health care equivalent' outpatient services.
The Government will also take full policy and funding responsibility for GP and primary health care, primary mental health and aged care services.
Funding the majority of growth in health and hospital costs
The Government will finance its increasing responsibility for health care funding by dedicating around one‑third of total GST revenue directly to health spending.
From 2014‑15, the Australian Government will take responsibility for funding the majority of growth in health and hospital costs directly from the Australian Government budget with guaranteed benefits to the States of $15.6 billion from 2014‑15 to 2019‑20.
New Australian Government funding responsibilities
