The future of Aged Care

A 400 plus public submission to the Productivity Commission recently showed that aged care will become a government responsibility, yet more open to market forces and entitlements of Australians.

There is a general recognition that increased flexibility and deregulation might be required within the aged care sector. However, what form this market orientation should take, is not agreed upon.

South Australian providers have raised their voice against an open market with increased supply and price competition. To protect consumer choice, the SA providers suggested that staff supply for residential care should remain controlled.

Maintaining this degree of supply control within residential care is something they consider necessary in order to protect accountability and stability within the system.

A completely free market might compromise access and equity within the system, they say to Aged Care InSite.

90 per cent of older people are pensioners, and the number of people retiring is increasing. A lot of the elders have no or little savings, and do not own their homes.

Australians living in rural and remote areas would be affected by a more open market, in terms of consumer choice and consumer decision making.

Creative housing, more therapy and activity programs were other suggestions to improve the future of aged care. These areas could significantly improve the lives of elders and address social isolation and loneliness. Redesigning more flexible housing systems could be offset by reductions in government spending, according to the submission.

The Australian government now wants to provide the disadvantaged older Australians with an adequate social safety net, and a broad strategic vision that will ensure sufficient consumer savings.