Why do aged care homes need more capital?
The Review into Pricing Arrangements in Residential Aged Care found that aged care providers are already making a substantial investment in new building, refurbishment and upgrading work, with more than $1.762 billion of capital works being undertaken in the past two years. However, a substantial additional investment will be required over the next decade to ensure that providers keep pace with the higher number of people requiring aged care services. The Review found that both public and private contributions to the cost of accommodation needed to be increased to ensure that the required investments would take place.
