The Australian Government passed the Aged Care Bill 2024 on 25 November.
The new Aged Care Act will commence from 1 July 2025.
The new Aged Care Act is the main law that sets out how the aged care system operates. It will put the rights of older people first.
The Act will:
- empower and improve the lives of older people accessing aged care services in their home, the community or residential aged care
- provide a forward-looking aged care system that is designed to:
- uphold the rights of older people under the Statement of Rights
- assist older people accessing aged care services to live active, self-determined and meaningful lives
- ensure equitable access to, and flexible delivery of, funded aged care services that put older people first
- support older people accessing funded aged care services to effectively participate in society on an equal basis with others
- enable older people accessing funded aged care services to exercise choice and control in the planning and delivery of those services
- provide a robust and risk-based regulatory framework for the delivery of funded aged care services, including accessible complaints mechanisms
- ensure older people are free from mistreatment, neglect and harm from poor quality or unsafe care
- provide and support education and advocacy arrangements that can assist older people to understand their rights, make decisions and provide feedback on the delivery of those services without reprisal
- encourage providers and workers to deliver high-quality care.
The rights-based law:
- addresses around 60 recommendations from the Royal Commission into Aged Care Quality and Safety
- includes feedback from several public consultations run by the Department of Health and Aged Care
- responds to the Aged Care Taskforce on sustainably funding aged care into the future.
The new Act is very different from the existing legislation. It focuses on empowering older people and upholding their rights, needs and personal choices. It also impacts the way that the Aged Care Quality and Safety Commission regulates providers and holds them accountable for complying with their responsibilities.
Key changes for providers
Under the new Aged Care Act there will be some key changes to the way that aged care providers operate and the obligations they must meet.
The new Act will require you to:
- register with us if you want to deliver aged care services. If you are an existing provider of aged care services, you will be automatically deemed as a provider.
- ensure your actions are consistent with the Statement of (including demonstrating you understand the Statement of Rights and have practices in place to ensure the delivery of funded aged care services is compatible with the Statement of Rights)
- comply with your obligations, including:
- conditions of registration
- comply with the strengthened Aged Care Quality Standards
- comply with the Code of Conduct for aged care (also ensuring workers comply with the Code)
- comply with the Statement of Principles
- comply with the new Financial and Prudential Standards
- ensure workers meet the worker screening requirements
- comply with new statutory duties of care.
To learn more about the new Aged Care Act go to: