Victorian Treasurer Jaclyn Symes announced her first budget on Tuesday, saying it was designed to provide cost-of-living relief through investing in crucial services – including public aged care – and give people hope.
The 2025-26 Victorian State Budget outlines a $50 million commitment to the public aged care sector, with the intention of delivering new government-funded aged care beds, creating additional capacity at the redeveloped Kingston Centre in Melbourne’s south-east and Hesse Rural Health in Winchelsea, and helping providers meet nurse-to-patient ratios in residential care.
$25 million has also been provided for essential equipment, supports and activities that help older Victorians maintain their independence so that more seniors can age at home.
The investment in public aged care forms part of the Treasurer’s broader investment in frontline services, including $9.3 billion for hospital care – inclusive of the opening and operationalising of nine new or expanded hospitals – $497 million to support the mental health and wellbeing system and $230 million to boost performance in emergency departments and ambulance response times.
Council on the Ageing Victoria and Seniors Rights Victoria chief executive officer Ben Rogers said the advocacy organisation and community legal centre welcomed the tangible supports included in the budget and are hopeful it will help ease cost-of-living pressures, improve access to healthcare, and strengthen aged care and justice responses across the state. However, he raised concern about its attempt to please everyone.
“This is a please-all budget that runs the risk of blunting its impact,” said Mr Rogers. “While older people will benefit from today’s announcements, this budget is unlikely to change the experience of ageing in Victoria.”
“We’re keen to continue to work with government and others in the sector so all older Victorians can age with dignity, security and equal opportunity,” Mr Rogers added.
He commended the allowance of older Victorians to be able to consult directly with a pharmacist – removing financial and logistical barriers for those with mobility difficulties or people living in regional areas – and the introduction of free public transport for older Victorians on weekends. The new energy concessions and rebates were similarly welcomed.
COTA Victoria and SRV also applauded the state budget’s boost to family violence prevention strategies, with older people a critically under-recognised group of victim-survivors.
“It is crucial that we acknowledge that family violence affects people of all ages and backgrounds. We hope that investment in family violence broadly, will also apply to the many Victorians living with, or recovering from elder abuse,” said Mr Rogers.
Budget lacks action on systemic challenges, new Aged Care Act
Despite positive action in these areas the budget does not go far enough in tackling systemic challenges that disproportionally affect older Victorians, COTA Victoria and SRV warned.
No targeted strategy or new investment aimed at increasing affordable and age-friendly housing options for older people was outlined in the budget – particularly for women at risk of homelessness – and there was no targeted funding for elder abuse prevention and awareness. Access to specialists and geriatric services also remained largely unaddressed, with the pharmacy expansion positive but lacking in its ability to address broader issues of healthcare access inequity.
The Victorian Healthcare Association also welcomed the significant investment into health, with chief executive officer Leigh Clarke saying it provides a good foundation for the health system but would have liked to see more funding to support services to deliver new Aged Care Act on 1 July.
“It’s positive to see some investment in public sector residential aged care, with funding to assist services in meeting nurse-to-patient ratios and prepare for legislative changes,” she said.
“However, aged care infrastructure spending falls short of the investment required – particularly for services in regional and rural areas, with $7.5 million allocated to minor capital infrastructure. This is significantly lower than the $80 million in targeted funding we had called for and highlights a gap for PSRACs who are facing growing demand for high-quality care against a looming 1 July date for commencement of the Aged Care Act.”
