ACCPA’s Summit concludes Plan B’s increased co-contributions is the saviour of aged care

The Aged Care Financial Sustainability Summit, which featured 43 organisations, including DCM Institute, representing consumers, aged care providers, unions, experts and government bodies, has concluded that increased co-contributions – Plan B – must be part of the future funding mix for aged care.

"The financial sustainability of the sector has reached a critical stage,” ACCPA’s Financial Sustainability Issues Paper states. “We can no longer put off the structural reforms needed to ensure older Australians receive the care, dignity and quality of life they need and deserve.”

“For those that can afford it, there should be consideration of increased consumer co-contributions in aged care for accommodation and lifestyle related expenses".

The paper says the Government can increase revenue for aged care through increased taxes, a levy, or a new social insurance scheme.

Increased co-contributions can take the form of means testing, pay as you go, or pre-payment. The paper outlines the pros and cons of each form in detail, concluding the Federal Department of Health and Aged Care must increase co-contributions where feasible.

ACCPA’s Financial Sustainability Issues Paper said a new funding system should be: transparent, efficient, equitable, means-tested, include flexible design for First Nations aged care, be universal, future-focused, guaranteed, inter-generationally fair, and support independence.

Aged Care Minister Anika Wells recently said she would be launching details of public consultations on the future of aged care funding. Watch this space.

 You can read the paper in full here.

The SOURCE: Plan B, which DCM Group first advocated for more than two years ago, appears one step closer.