Katy Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | Hansard source

Thank you, Senator Rice, for the question about how allied health will operate under the new model, the AN-ACC model.

Residential aged-care providers are funded for and required to provide allied health services to residents in accordance with their obligations under the Aged Care Act 1997 and the associated quality standards. The Australian National Aged Care Classification removes the inbuilt incentives that exist within the ACFI to deliver specific allied health treatment, such as massages for pain management, that are not necessarily the most clinically appropriate or effective approaches for some residents.

This allows allied health professionals more freedom to provide the best targeted treatments that directly benefit the individual, consistent with their individual care plan—for example, treating pain through an exercise program. Existing ACFI funding, which includes funding for an allied healthcare provision, will be rolled into the AN-ACC funding allocation.

The 2021 StewartBrown survey identified that providers currently spend approximately four per cent of their care funding on allied health or approximately $400 million. Under AN-ACC this equates to approximately $700 million of the care funding that will be provided in 2022-23. Furthermore, the 2021 StewartBrown survey also identified that providers currently spend approximately three per cent of their care funding on lifestyle, approximately $300 million, and under AN-ACC this equates to proximately $550 million of the care funding that will be provided in 2022-23.

From 2020 to 2021, and moving to quarterly from 1 July 2022, more detailed expenditure information will be collected from aged-care providers, including staffing costs and direct-care hours delivered across a range of staffing types, including allied health. This will give visibility over the use of allied health services during and following the transition to AN-ACC, enabling the government to respond as necessary. I hope that answers your question.