Given the long-term bearish outlook of the global economy, no-one seemed surprised by the conservative inaugural federal budget presented on Tuesday night (25 October 22) by Labor Treasurer Jim Chalmers.
Economists welcomed the prudent approach to paying down national debt with the ballooning cost of finance, not mention the National Disability Insurance Scheme (NDIS), looming on the horizon, yet social advocates have expressed concerns that low-income households will be left to fend for themselves in the face of rising living costs.
Similarly, both the RACGP and RACP applauded the inclusion of key wellbeing measures and the delivery of health election commitments, but said it fell short of what was required to protect public healthcare and GPs in the evolving crisis.
Key points relating to the healthcare system included:
- The maximum cost of PBS general scripts is to fall for the first time in 75 years. The PBS general co-payment will be lowered to $30 a script, down from $42.50.
- The Government is also providing an additional $1.4 billion for new and amended listings on the PBS and other medicines programs.
- The Government will provide $235 million over 4 years from 2022–23 to commence the roll-out of 50 Urgent Care Clinics. This includes $100 million over 2 years from 2022–23 to co-develop and pilot innovative models with states and territories to improve care pathways and inform program roll-out.
- The Budget restored the 50% loading for telehealth psychiatry services in regional and rural areas and will expand the Headspace network.
- Some $2.6 billion has been allocated to adapt Australia’s COVID response to meet the current state of the pandemic.
- $452 million to support the establishment of 2 world class cancer centres.
- $327.7 million to support Australians with type 1 diabetes.
- $314.8 million to help close the gap in First Nations health, including more money for infrastructure, workforce, training, and programs delivered through Aboriginal Community Controlled Health Organisations.
- $200 million for schools’ wellbeing programs and $270 million for updates to schools’ equipment and ventilation, both related to the RACP’s Kids Covid Catch Up plan.
- $3.4 million for establishing a National Health Sustainability Unit to drive the development of the Government’s National Strategy on Climate Health and Wellbeing.
- $3.2 million to undertake initial design for establishing an Australian Centre for Disease Control to improve pandemic preparedness and prevent chronic disease.
- Continuation of necessary COVID measures including providing RATs to Aboriginal Community Controlled Health Services, NDIS participants, aged care facilities and supported disability accommodation.
- $2.5 billion for the election commitment to increase residential care staffing minutes and require 24/7 nurse coverage.
- $10.5 million to establish the Office for Youth.
- $23.9 million for the establishment of a National Centre of Excellence in Intellectual Disability.
- $185.3 million rural workforce package which aims to attract, support, and retain more health professionals into regional and rural communities, including increased loadings to RG and GP’s remuneration in recognition of the extended scope of practice they undertake ($29.4m).
- Incentive payments of up to $10,500 to attract RGs and GPs who have advanced clinical skills to practise in rural and remote communities ($74.1m).
- Additional Advanced Specialist Training posts for RGs in recognition of the importance and value of the RG program and its potential to deliver an efficient and effective extended range of healthcare services which meet community need.
- Increases training opportunities for junior doctors to experience RG medicine.
- 20 new Commonwealth-funded medical training places at the James Cook University ($13.2m), which will boost the rural health workforce.
- More than $300m for health programs that will help close the gap in health and wellbeing outcomes for Aboriginal and Torres Strait Islander peoples.
- New funding of $24.7m for the Innovative Models of Care program.
RACGP President, Adj. Professor Karen Price, said that the elements of the Budget would be carefully considered by the college.
“We will, as always, carefully examine the Budget and seek more information where required to ensure that members interests are best served,” she said.
“The pandemic has exposed cracks in our health system, including general practice care, that require urgent repairs.”
“As anticipated, the Budget confirms funding for 50 Urgent Care Clinics, which will be developed and piloted in consultation with the profession. While the RACGP notes that these will be GP-led, we require further information, including the funding model, workforce requirements, where the workforce will come from, and the impact on existing health infrastructure.
“So, that is something that we will work through with the Government because the devil really is in the detail.”
Similarly, the President of the AMA, Professor Steven Robson, said that the association welcomed the commitments made in the Budget, but pointed out that given the level of investments required to address the existing issues in the system, “the real work will have to begin for the May Budget next year when major change will be needed.”
“We’ve seen a Budget tonight that is very much as we had expected and deals with inking [in] a lot of promises that were made during the election campaign by the Government, but Australians are going to be looking to the next Budget next year for real change and real reform,” Professor Robson said.
“…Now is the time that the Government needs to look to work out how they’re going to end the logjam in our hospitals, make general practice accessible and affordable to Australians, and to make sure that Australians in rural and regional communities have the opportunity to get the same access to healthcare as their cousins and relatives who live in our cities.”