{"id":1186008,"date":"2026-09-04T12:32:34","date_gmt":"2026-09-04T12:32:34","guid":{"rendered":"https:\/\/www.europesays.com\/uk\/1186008\/"},"modified":"2026-09-04T12:32:34","modified_gmt":"2026-09-04T12:32:34","slug":"commonwealth-stares-down-states-on-controversial-private-health-changes","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/uk\/1186008\/","title":{"rendered":"Commonwealth stares down states on controversial private health changes"},"content":{"rendered":"<p class=\"paragraph_paragraph___QITb\">The federal government has vowed to push ahead with its controversial private health insurance rebate changes despite some states demanding the plan be ditched over fears it will worsen the strain on public hospitals.<\/p>\n<p class=\"paragraph_paragraph___QITb\">State and territory health ministers entered a meeting this morning in Sydney armed with a list of concerns, including the Commonwealth&#8217;s planned changes to the private health insurance rebate for older Australians and the rapidly growing number of stranded aged care patients in public hospitals across the nation.<\/p>\n<p class=\"paragraph_paragraph___QITb\">The government is proposing to wind back the rebate those aged 65 and over receive on their private health cover, banking $3 billion to spend elsewhere in the aged care system.<\/p>\n<p class=\"paragraph_paragraph___QITb\"><a class=\"Link_link__kR0xA Link_link__5eL5m ScreenReaderOnly_srLinkHint__OysWz Link_showVisited__C1Fea Link_showFocus__ALyv2\" href=\"https:\/\/www.abc.net.au\/news\/2026-04-22\/private-health-for-over-65s-to-cost-hundreds-more\/106594174\" data-component=\"Link\" data-uri=\"coremedia:\/\/article\/106594174\" rel=\"nofollow noopener\" target=\"_blank\">Ditching the Howard-era policy<\/a> would mean more than 3 million older Australians would have to pay hundreds of dollars more for their private health insurance each year from next April.<\/p>\n<p class=\"paragraph_paragraph___QITb\">New South Wales, South Australia, Victoria and the Northern Territory are among those who have raised concerns over the proposed changes, while the Queensland LNP and Tasmanian Liberal governments have gone further, calling for the plan to be ditched.<\/p>\n<p class=\"paragraph_paragraph___QITb\">Speaking after the meeting, federal Health Minister Mark Butler said he recognised the changes would be a cost-of-living hit for older Australians, but the state of the budget bottom line meant there was little money available for new spending.<\/p>\n<p class=\"paragraph_paragraph___QITb\">&#8220;This is not a decision I particularly would like to have made in ordinary circumstances, but this is one of those difficult choices we have to make,&#8221; he said.<\/p>\n<p class=\"paragraph_paragraph___QITb\">&#8220;For those who are opposed to it, including my state minister colleagues, I say, where else are we going to get that $3 billion to invest in the beds that they&#8217;ve just been arguing for here? You know, these are about choices.&#8221;<\/p>\n<p><a href=\"https:\/\/www.abc.net.au\/news\/2026-04-22\/private-health-for-over-65s-to-cost-hundreds-more\/106594174\" data-component=\"FullBleedLink\" class=\"RelatedCard_link__rsgR9 FullBleedLink_root__lTw_U interactive_focusContext__yRhc_ interactive_defaults__AKxUU FullBleedLink_showVisited__g3Xvz\" rel=\"nofollow noopener\" target=\"_blank\">People over 65 to pay more for private health<\/a><\/p>\n<p class=\"Typography_base__sj2RP RelatedCard_synopsis__cFwMW Typography_sizeMobile14__u7TGe Typography_lineHeightMobile20___U7Vr Typography_regular__WeIG6 Typography_colourInherit__dfnUx\" data-component=\"Typography\">The federal government argues the move will help re-establish fairness across the generations.<\/p>\n<p class=\"paragraph_paragraph___QITb\">The federal government&#8217;s modelling has indicated that about 44,000 Australians would dump their private health insurance as a result.<\/p>\n<p class=\"paragraph_paragraph___QITb\">Those figures have been backed by independent modelling from health economists at the University of Melbourne, <a class=\"Link_link__kR0xA Link_link__5eL5m ScreenReaderOnly_srLinkHint__OysWz Link_showVisited__C1Fea Link_showFocus__ALyv2\" href=\"https:\/\/www.abc.net.au\/news\/2026-08-30\/private-health-insurance-rebates-older-regional-australians\/107083218\" data-component=\"Link\" data-uri=\"coremedia:\/\/article\/107083218\" rel=\"nofollow noopener\" target=\"_blank\">who said the impact on hospitals would likely be small.<\/a><\/p>\n<p class=\"paragraph_paragraph___QITb\">However, NSW Health Minister Ryan Park said his health department&#8217;s modelling showed the proposed changes would have a much more significant impact on the public health system.<\/p>\n<p class=\"paragraph_paragraph___QITb\">The upper end of the modelling estimates that in NSW alone, 80,000 residents aged 65 and over may either cancel or downgrade their private health insurance as a result.<\/p>\n<p class=\"paragraph_paragraph___QITb\">It also estimates that public hospitals in NSW could pick up more than 23,000 additional surgeries a year.<\/p>\n<p class=\"paragraph_paragraph___QITb\">&#8220;The Commonwealth&#8217;s proposed changes to private health insurance rebates will place additional pressure onto NSW&#8217;s public hospitals at a time when health services are already experiencing significant demand,&#8221; Mr Park said ahead of the meeting.<\/p>\n<p><img decoding=\"async\" alt=\"A man in a grey suit and tie sits at an outside table smiling with his hands clasped.\" class=\"Image_image__5tFYM ContentImage_image__DQ_cq\"  src=\"https:\/\/www.europesays.com\/uk\/wp-content\/uploads\/2026\/09\/4e69d6fff5db330af91c417a8059819e.jpeg\" loading=\"lazy\" data-component=\"Image\" data-lazy=\"true\"\/><\/p>\n<p class=\"Typography_base__sj2RP FigureCaption_text__zDxQ5 Typography_sizeMobile12__w_FPC Typography_lineHeightMobile20___U7Vr Typography_regular__WeIG6 Typography_colourInherit__dfnUx\" data-component=\"Typography\">Ryan Park says his department&#8217;s modelling shows the proposed changes would place a much greater burden on public health systems. (ABC News: Billy Cooper)<\/p>\n<p class=\"paragraph_paragraph___QITb\">Victorian Health Minister Ingrid Stitt also raised concerns, saying &#8220;any change that would leave older Victorians worse off&#8221; and put additional pressure on the states&#8217;s public hospitals was &#8220;unacceptable&#8221;, while Queensland&#8217;s Tim Nicholls said he did not believe the Commonwealth understood the impact of the changes.<\/p>\n<p class=\"paragraph_paragraph___QITb\">&#8220;This is, I think, robbing Peter to pay Paul, and Paul hasn&#8217;t been paid yet,&#8221; he told the ABC.<\/p>\n<p><img decoding=\"async\" alt=\"a man with grey hair and glasses speaks to reporters at a  press conference\" class=\"Image_image__5tFYM ContentImage_image__DQ_cq\"  src=\"https:\/\/www.europesays.com\/uk\/wp-content\/uploads\/2026\/09\/d38426f9fd62e3fd7b9e441f74f8c3bc.jpeg\" loading=\"lazy\" data-component=\"Image\" data-lazy=\"true\"\/><\/p>\n<p class=\"Typography_base__sj2RP FigureCaption_text__zDxQ5 Typography_sizeMobile12__w_FPC Typography_lineHeightMobile20___U7Vr Typography_regular__WeIG6 Typography_colourInherit__dfnUx\" data-component=\"Typography\">Tim Nicholls says the Commonwealth plan should be ditched. (ABC News: Lucas Hill)<\/p>\n<p class=\"paragraph_paragraph___QITb\">&#8220;If we see more people dropping out of private health insurance, then we&#8217;ll see more people turning up in our public health institutions, including our public hospitals.&#8221;<\/p>\n<p class=\"paragraph_paragraph___QITb\">The issue has become increasingly political, with Shadow Health Minister Anne Ruston vowing the Coalition would block the legislation in the Senate because it was &#8220;nothing more than a cost shift onto older Australians to the public hospital system.&#8221;<\/p>\n<p><a href=\"https:\/\/www.abc.net.au\/news\/2026-05-11\/aged-care-patients-stranded-in-hospitals-australia\/106651544\" data-component=\"FullBleedLink\" class=\"RelatedCard_link__rsgR9 FullBleedLink_root__lTw_U interactive_focusContext__yRhc_ interactive_defaults__AKxUU FullBleedLink_showVisited__g3Xvz\" rel=\"nofollow noopener\" target=\"_blank\">Aged care crisis worsens nationwide<\/a><\/p>\n<p class=\"Typography_base__sj2RP RelatedCard_synopsis__cFwMW Typography_sizeMobile14__u7TGe Typography_lineHeightMobile20___U7Vr Typography_regular__WeIG6 Typography_colourInherit__dfnUx\" data-component=\"Typography\">The number of aged care patients stuck in hospitals has jumped by 35 per cent in less than a year, fuelling fresh demands for the federal government to stem the crisis.<\/p>\n<p class=\"paragraph_paragraph___QITb\">That means the federal government will need the support of the Greens to get the legislation through parliament, with the party yet to land on a formal position.<\/p>\n<p class=\"paragraph_paragraph___QITb\">There is also a Senate inquiry into the issue, which is due to report its findings in October.<\/p>\n<p>3,700 aged care patients stranded in public hospitals<\/p>\n<p class=\"paragraph_paragraph___QITb\">The health ministers also mobilised to launch another coordinated attack against the Commonwealth over the number of stranded aged care patients.<\/p>\n<p class=\"paragraph_paragraph___QITb\">New figures collated by the states and territories reveal more than 3,700 aged care patients are now languishing in public hospitals across the country.<\/p>\n<p class=\"paragraph_paragraph___QITb\">That is compared to about 2,500 last September, <a class=\"Link_link__kR0xA Link_link__5eL5m ScreenReaderOnly_srLinkHint__OysWz Link_showVisited__C1Fea Link_showFocus__ALyv2\" href=\"https:\/\/www.abc.net.au\/news\/2025-09-12\/federal-government-aged-care-hospital-beds-waitlist\/105763730\" data-component=\"Link\" data-uri=\"coremedia:\/\/article\/105763730\" rel=\"nofollow noopener\" target=\"_blank\">an increase of about 50 per cent in 12 months.<\/a><\/p>\n<p class=\"paragraph_paragraph___QITb\">Those patients have been medically cleared for discharge but remain in hospital because there is nowhere suitable for them to go.<\/p>\n<p class=\"paragraph_paragraph___QITb\">&#8220;I think it is the singular biggest issue that the South Australian health system faces today,&#8221; South Australian Health Minister Blair Boyer told the ABC.<\/p>\n<p><img decoding=\"async\" alt=\"Blair Boyer gestures with a hand while speaking to media on a street\" class=\"Image_image__5tFYM ContentImage_image__DQ_cq\"  src=\"https:\/\/www.europesays.com\/uk\/wp-content\/uploads\/2026\/09\/0ee4c6036b32d25d555af83a5699d29a.jpeg\" loading=\"lazy\" data-component=\"Image\" data-lazy=\"true\"\/><\/p>\n<p class=\"Typography_base__sj2RP FigureCaption_text__zDxQ5 Typography_sizeMobile12__w_FPC Typography_lineHeightMobile20___U7Vr Typography_regular__WeIG6 Typography_colourInherit__dfnUx\" data-component=\"Typography\">Blair Boyer says SA&#8217;s biggest issue is aged care patients being stranded in public hospitals. (ABC News: Daniel Taylor)<\/p>\n<p class=\"paragraph_paragraph___QITb\">&#8220;They are beds that we don&#8217;t have available to us today for people who might be presenting at an emergency department or arriving by ambulance, in some cases for elective surgery that is planned.&#8221;<\/p>\n<p class=\"paragraph_paragraph___QITb\">While states run public hospitals, the Commonwealth funds and regulates aged care services.<\/p>\n<p class=\"paragraph_paragraph___QITb\">Tensions flared in the lead-up to <a class=\"Link_link__kR0xA Link_link__5eL5m ScreenReaderOnly_srLinkHint__OysWz Link_showVisited__C1Fea Link_showFocus__ALyv2\" href=\"https:\/\/www.abc.net.au\/news\/2026-01-30\/albanese-government-deal-hospital-funding-states-territories\/106282208\" data-component=\"Link\" data-uri=\"coremedia:\/\/article\/106282208\" rel=\"nofollow noopener\" target=\"_blank\">the latest public hospital funding agreement<\/a> cinched in January, with <a class=\"Link_link__kR0xA Link_link__5eL5m ScreenReaderOnly_srLinkHint__OysWz Link_showVisited__C1Fea Link_showFocus__ALyv2\" href=\"https:\/\/www.abc.net.au\/news\/2025-12-18\/labor-hospitals-medical-funding-states-health-grinch\/106148814\" data-component=\"Link\" data-uri=\"coremedia:\/\/article\/106148814\" rel=\"nofollow noopener\" target=\"_blank\">state governments of different political stripes abandoning party allegiances to unite on the issue<\/a>.<\/p>\n<p><img decoding=\"async\" alt=\"Empty bed in a hospital ward.\" class=\"Image_image__5tFYM ContentImage_image__DQ_cq\"  src=\"https:\/\/www.europesays.com\/uk\/wp-content\/uploads\/2026\/09\/d61e84dd99401bddd41cf4ce869dbd8c.jpeg\" loading=\"lazy\" data-component=\"Image\" data-lazy=\"true\"\/><\/p>\n<p class=\"Typography_base__sj2RP FigureCaption_text__zDxQ5 Typography_sizeMobile12__w_FPC Typography_lineHeightMobile20___U7Vr Typography_regular__WeIG6 Typography_colourInherit__dfnUx\" data-component=\"Typography\">The Commonwealth is responsible for funding and regulating aged care services. (ABC News: Jake Grant)<\/p>\n<p class=\"paragraph_paragraph___QITb\">As well as occupying beds and placing increased pressure on hospitals, long stays in hospitals also strip elderly patients of independence and put them at a greater risk of illness and infection.<\/p>\n<p class=\"paragraph_paragraph___QITb\">Tim Nicholls this week revealed <a class=\"Link_link__kR0xA Link_link__5eL5m ScreenReaderOnly_srLinkHint__OysWz Link_showVisited__C1Fea Link_showFocus__ALyv2\" href=\"https:\/\/www.abc.net.au\/news\/2026-09-01\/stranded-australians-queensland-hospitals\/107103338\" data-component=\"Link\" data-uri=\"coremedia:\/\/article\/107103338\" rel=\"nofollow noopener\" target=\"_blank\">a patient had been stranded in a Queensland public hospital for more than 1,000 days<\/a>, with more than a dozen other patients stranded for more than 700 days.<\/p>\n<p class=\"paragraph_paragraph___QITb\">He said long-stay patients accounted for more than 11 per cent of the state&#8217;s acute hospital capacity.<\/p>\n<p class=\"paragraph_paragraph___QITb\">&#8220;This is an enormous issue for all states,&#8221; he said.<\/p>\n<p><a href=\"https:\/\/www.abc.net.au\/news\/2026-01-30\/albanese-government-deal-hospital-funding-states-territories\/106282208\" data-component=\"FullBleedLink\" class=\"RelatedCard_link__rsgR9 FullBleedLink_root__lTw_U interactive_focusContext__yRhc_ interactive_defaults__AKxUU FullBleedLink_showVisited__g3Xvz\" rel=\"nofollow noopener\" target=\"_blank\">Government lands last-ditch hospital funding deal<\/a><\/p>\n<p class=\"Typography_base__sj2RP RelatedCard_synopsis__cFwMW Typography_sizeMobile14__u7TGe Typography_lineHeightMobile20___U7Vr Typography_regular__WeIG6 Typography_colourInherit__dfnUx\" data-component=\"Typography\">Prime Minister Anthony Albanese has bowed to mounting pressure from the states, promising an extra $25 billion for public hospitals.<\/p>\n<p class=\"paragraph_paragraph___QITb\">&#8220;Every bed that is taken up by someone who could be out of a hospital means that we can&#8217;t move people out of our emergency departments and that means we can&#8217;t transfer people from the back of an ambulance into an emergency department to receive treatment.&#8221;<\/p>\n<p class=\"paragraph_paragraph___QITb\">WA Health Minister Meredith Hammat said the issue had reached &#8220;worrying new heights&#8221;.<\/p>\n<p class=\"paragraph_paragraph___QITb\">&#8220;It is having an impact on people&#8217;s ability to access care in our hospitals where they&#8217;ve got acute care needs,&#8221; she told the ABC.<\/p>\n<p><img decoding=\"async\" alt=\"Bags of intravenous fluids hooked up to tubes in a hospital room\" class=\"Image_image__5tFYM ContentImage_image__DQ_cq\"  src=\"https:\/\/www.europesays.com\/uk\/wp-content\/uploads\/2026\/09\/dca0a50453a80948399d6459f62962ae.jpeg\" loading=\"lazy\" data-component=\"Image\" data-lazy=\"true\"\/><\/p>\n<p class=\"Typography_base__sj2RP FigureCaption_text__zDxQ5 Typography_sizeMobile12__w_FPC Typography_lineHeightMobile20___U7Vr Typography_regular__WeIG6 Typography_colourInherit__dfnUx\" data-component=\"Typography\">The Commonwealth has pledged an additional 5,000 aged care beds a year by 2029. (ABC News: Jake Grant)<\/p>\n<p class=\"paragraph_paragraph___QITb\">Australian Medical Association president Danielle McMullen said without urgent action, the number of aged care patients stranded in public hospitals would likely continue to rise.<\/p>\n<p class=\"paragraph_paragraph___QITb\">&#8220;Unless we change how our system flows, we will continue to see growing pressure on our public hospitals and on our care system more broadly,&#8221; she said.<\/p>\n<p class=\"paragraph_paragraph___QITb\">The Commonwealth has pledged an additional 5,000 aged care beds a year by 2029 as part of a $3.7 billion package, <a class=\"Link_link__kR0xA Link_link__5eL5m ScreenReaderOnly_srLinkHint__OysWz Link_showVisited__C1Fea Link_showFocus__ALyv2\" href=\"https:\/\/www.abc.net.au\/news\/2026-09-01\/stranded-australians-queensland-hospitals\/107103338\" data-component=\"Link\" data-uri=\"coremedia:\/\/article\/107103338\" rel=\"nofollow noopener\" target=\"_blank\">alongside funding for specialist dementia care units<\/a> and a joint taskforce examining long-stay hospital patients.<\/p>\n<p class=\"paragraph_paragraph___QITb\">Mr Butler said there was &#8220;no easy fix&#8221; to the challenge of demand.<\/p>\n<p class=\"paragraph_paragraph___QITb\">&#8220;The numbers are simply unprecedented,&#8221; he said.<\/p>\n<p class=\"paragraph_paragraph___QITb\">&#8220;We increased the number of home care packages last year by 25 per cent. Even with that increase, there&#8217;s still more and more demand.<\/p>\n<p class=\"paragraph_paragraph___QITb\">&#8220;There are some natural constraints on what we can do, how quickly we can build new facilities. We are leaning in as much as we can.&#8221;<\/p>\n","protected":false},"excerpt":{"rendered":"The federal government has vowed to push ahead with its controversial private health insurance rebate changes despite some&hellip;\n","protected":false},"author":2,"featured_media":1186009,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_share_on_mastodon":"0"},"categories":[4316],"tags":[169440,6929,105,4348,321531,98459,16,15],"class_list":["post-1186008","post","type-post","status-publish","format-standard","has-post-thumbnail","category-healthcare","tag-aged-care","tag-federal-government","tag-health","tag-healthcare","tag-private-health-insurance-rebate","tag-state-governments","tag-uk","tag-united-kingdom"],"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@uk\/117212793537324221","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/1186008","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/comments?post=1186008"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/1186008\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media\/1186009"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media?parent=1186008"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/categories?post=1186008"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/tags?post=1186008"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}