Purpose of reforms

The purpose of the aged care reforms is to meet the increasing need for quality residential aged care from an aging Australian population.

Over the next 30 years, the number of Australians over 65 years of age will rise from less than two million to over five million. At the same time, the proportion of taxpayers will be smaller in comparison to the aged population.

The reforms are part of the Government strategy to ensure the sustainability of the aged care system without placing undue burden on a smaller taxpayer base.

The reforms also address long standing concerns raised by both consumers and providers. These concerns include the need to improve the quality of buildings (particularly in nursing homes) and care standards, and over time to have more flexible care options for residents.