Unspent home care funds are creating a “perverse incentive” for providers to spend the money inappropriately, the Royal Commission has heard.
The royal commission has heard “significant” concerns about respite care and the effect of the “try before you buy” approach on the availability of residential respite.
The federal government spent $5.1 billion on home care and home support services in the past year, new figures show, up from $4.5 billion in 2016-17 and $3.8 billion five years ago.
The government will review whether it is necessary to tighten registration requirements for home care providers following allegations of price-gouging, non-compliance with standards and pushy sales techniques.
The rollout of 10,000 new home care packages flagged in December will begin this week, the federal government says.
The economic measures announced in the federal government’s mid-year budget outlook are unlikely to improve the financial struggles many aged care providers are currently facing, according to an analysis of the fine print.
The federal government will provide $552.9 million for aged care spending and release 10,000 high-level home care packages within weeks.
Peak aged care industry body ACSA has called for almost $700 million to immediately be made available for residential care, ahead of the federal government’s mid year financial outlook.
People who wait six months or more for a home care package are more likely to die or go into residential care two years after getting the package than those who don’t spend as long in the queue, a study has found.
The number of people on a home care package has increased by almost 30 per cent over the last 12 months but the number waiting for their appropriate level of care is continuing to grow and people are waiting longer.
Home care package administration fees are dropping, a survey of approved providers shows.
A government committee is considering putting a cap on home care package administration fees amid claims some providers are charging up to 45 per cent on top of service fees.
A study has found that introducing a Level 5 home care package would allow more people to remain at home where they could have a “good and respectful” death if that was their choice, an aged care conference heard.
The home care sector has experienced a more than six per cent decline in profitability over the last year as providers continue to accumulate a growing mountain of unspent funds, a key financial report has found.