Aged Care Bodies React to 2014 Budget Announcement

By Petrina Smith
Wednesday, 14 May, 2014

Patrick ReidAged Care bodies have reacted to the 2014 Budget Announcements, citing both positive and negative outcomes.
“LASA welcomes the announcement of the redirection of the $1.5 Billion Workforce Supplement. The Supplement will now be allocated back into care via residential, homecare and relevant community programs,” CEO Patrick Reid said.
He went on to say, however, that removal of the aged care payroll tax supplement  will see many aged care providers bearing a disproportionate burden of ‘fixing the budget’, via the removal of the aged care payroll tax supplement.
"This $653 million cut (over four years) will directly erode capacity for providers to deliver frontline care services to older Australians.” “It is of considerable concern that the Government has implemented this measure without consulting industry regarding what we understand to be a significant impact.”
“LASA welcome the announcement of the Young Carer Bursary Program. ‘It is important that there is as much flexibility as possible for young carers to continue study while providing care without the added burden of fulfilling work commitments.”
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Adj Prof John G Kelly AM, CEO, Aged & Community Services Australia (ACSA), said bringing forward Home Care Packages to Financial Year 2015-16 from 2017-18 is also welcome and means that more care can be delivered directly into the homes of more older Australians, where many prefer to receive care.
"A disappointment was the cessation of the Housing Help for Seniors Programme removing $173 million over five years.
"Of real concern, however, is the reduction in real annual growth in the Home Support Programme to 3.5% from a level of 6% from 1 July 2018 and we will be taking this up with the Government.
“There are many challenges ahead of us which concern how we provide consumer choice and fund the sector in a sustainable manner into the future. The Productivity Commission report on Caring for Older Australians discussed affordability, individual responsibility and a safety net for those of low means. We shall continue to advocate to achieve those aims."

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