Consultation Paper on the Pricing Framework for Australian Residential Aged Care Services 2026–27

Submission

The National Rural Health Alliance (the Alliance) submitted a response to the Independent Health and Aged Care Pricing Authority (IHACPA).

With input from Alliance members, the submission addressed Consultation Question 5: What factors, if any, contribute to variations in the cost of providing required hotel services to residents?

The Alliance’s submission highlights the financial challenges faced by rural aged care providers, particularly the higher costs associated with resourcing and staffing in rural and remote areas.

The Alliance recommends incorporating thin market pricing, recognising persistent rural cost gaps, and supporting flexible, locally tailored service models that reflect the realities of delivering care in remote areas.

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