Critical Home Care Package Delays Put Thousands of Elderly at Risk

Home care package delays have reached alarming levels, with more than 200,000 elderly Australians currently stuck on waiting lists. Despite the number of people receiving a home care package increasing from 128,781 at the end of 2019 to 258,374 in June 2023, the system remains overwhelmed by demand. Currently, approximately 122,000 people are awaiting an assessment, while 109,000 have been assessed but are still waiting for their package to be processed. 

Furthermore, older people assessed as medium priority face estimated wait times of 9–12 months across all home care package levels. This prolonged waiting period has a significant impact on the quality of life for vulnerable seniors who need assistance to remain in their homes. The situation has worsened recently, with waiting lists rising strongly each quarter and reaching 87,597 by March 2025. Consequently, many elderly Australians are left without essential support from home care package providers, despite meeting home care package eligibility requirements.

Government Delays Release of 83,000 Home Care Packages

Federal Aged Care Minister Sam Rae faced intense scrutiny in Parliament for delaying the release of 83,000 new home care packages initially scheduled for July 1 to November 1, 2025. This postponement coincides with the deferral of the new Aged Care Act 2024 and the Support at Home programme, which will eventually replace existing home care package programmes.

Why Was The Rollout Postponed From July to November?

The delay is directly linked to the government’s decision to defer the Start of Support at Home programme. Officials determined that releasing 83,000 new home care packages now would create additional administrative complexity, as recipients would need to transition to the upcoming Support at Home programme shortly after approval. Instead of managing this transition, the government opted to delay access altogether. Additionally, the government cited that supporting regulations were not fully ready for Parliamentary consideration in time to allow providers and the workforce to prepare adequately for the changes.

The Delays Affects on Elderly Australians

The impact on older Australians has been substantial. Currently, 121,596 people are waiting for assessment, with more than 87,000 already assessed but still without a package. The Department of Health’s submission reported that older people assessed as medium priority face estimated wait times of 9–12 months across all package levels. Moreover, the total waiting period is even longer – applicants typically wait a month between applying for assessment and receiving it, then another month between package assignment and service delivery.

Research indicates that prolonged waits without appropriate home care supports increase the risk of injury, hospitalisation, and premature entry into residential aged care. Advocacy groups warn that the eight-week delay until November represents “a very long time for an older person”, during which their health can rapidly deteriorate.

Department of Health Explanation

The Department of Health, Disability and Ageing confirmed that although existing packages are being re-released when they become vacant, there has been no increase in the overall number of packages since the beginning of July. According to the Minister, the delay aims to ensure the reforms are “delivered in a way that minimises disruption”. The government maintains that this extension will allow aged care providers, workers, and stakeholders additional time to prepare for the upcoming changes.

Under mounting pressure from across Parliament, the government subsequently agreed to immediately fund 20,000 home care packages to support older Australians living at home. These packages are part of the already-promised 83,000; the government has simply shifted the timeline forward for this portion.

What Are Home Care Packages and Who Is Eligible?

A government-funded initiative called Home Care Packages aims to provide integrated care services to older Australians so they can stay in their homes for longer. These packages provide financial subsidies directly to individuals, rather than to service providers, ensuring that recipients have a choice and control over their care arrangements.

Home Care Package Levels and Services

The programme features four distinct funding tiers based on assessed care needs:

• Level 1 (Basic care needs): Approximately AUD 16,714 annually
• Level 2 (Low care needs): Approximately AUD 29,394 annually
• Level 3 (Intermediate care needs): Approximately AUD 63,984 annually
• Level 4 (High care needs): Approximately AUD 97,000 annually

Services typically include personal care, nursing support, household assistance, meal preparation, mobility support, and home modifications. Notably, these packages cover only services directly linked to identified care needs that improve health and well-being. Essentially, the funding cannot be used for services already covered by other government programs, such as Medicare, or for everyday expenses that all people typically manage themselves.

Eligibility Criteria For Receiving a Package

To qualify for a Home Care Package, applicants must first register with My Aged Care and complete an assessment. Primary eligibility requirements include being at least 65 years old (or 50 years for Aboriginal and Torres Strait Islander people).Younger people who have dementia, impairments, or particular care requirements that cannot be addressed by other specialised services may also be eligible.

The assessment process involves an in-person evaluation, usually conducted in the applicant’s home by a trained assessor using the Integrated Assessment Tool (as of July 2024). This assessment determines both eligibility and the appropriate package level.

Role of Home Care Package Providers in Service Delivery

Home care package providers play a critical function in managing and delivering services. Specifically, they must work collaboratively with recipients to develop personalised care plans using a consumer-directed approach. Additionally, providers are responsible for ensuring all services meet the Aged Care Quality Standards.

Providers receive government subsidies after delivering services and must charge fair, transparent prices that recipients understand and agree to. Importantly, even when third-party services are used, the primary provider remains accountable for maintaining quality standards and appropriate care management.

Waiting Lists Surge as Demand Outpaces Supply

The demand for home care packages continues to outstrip the supply, resulting in an unprecedented surge in waiting lists across Australia. Historically, package allocations have seen substantial growth; however, backlogs persist due to administrative bottlenecks and funding constraints.

Historical Trends in Home Care Package Allocation

The system experienced dramatic growth, with the number of recipients increasing from 128,781 at the end of 2019 to 258,374 by June 2023. Throughout much of this period, the government released between 40,000 and 50,000 packages quarterly, exceeding approval rates and temporarily reducing waiting lists to 28,665 by June 2023. However, from mid-2023, new package releases dropped to approximately 30,000 per quarter. This reduction, coupled with Australia’s ageing population, resulted in waiting lists climbing by roughly 10,000 people each quarter.

Backlog of Assessments and Approvals

The backlog has reached critical levels, with 121,596 older Australians waiting for assessment as of August 2025. Simultaneously, 109,000 people who have already been assessed remain waiting for package allocation. Altogether, the Department of Health has confirmed over 200,000 elderly Australians are now trapped in this two-stage waiting system. Former Inspector-General of Aged Care Ian Yates described the assessment waitlist as “staggering” and warned that official figures might underrepresent actual demand.

Impact on Medium-Priority and High-Priority Cases

The prioritisation system creates stark differences in access. Individuals assessed as having urgent needs (high priority) typically receive their approved home care package within one month across all package levels. Conversely, those with medium priority face substantially longer waits—between 9 and 12 months, regardless of package level, as of June 2025. This tiered approach means many vulnerable elderly Australians face prolonged periods without adequate support.

Delays Between Assessment, Approval, and Service Delivery

The complete timeline from application to service extends beyond headline waiting figures. After applying, older Australians typically wait a month for assessment, followed by the priority-based waiting period for package assignment, then approximately another month before receiving their first service. The government notification process adds further complexity, with applicants receiving a “get ready” letter approximately three months before package allocation and having just 56 days to arrange services before the package expires.

Experts Warn of Long-Term Structural Challenges

Beyond the current delays in home care package delivery, experts highlight fundamental structural issues that threaten the entire aged care system. The growing complexity of these challenges requires immediate attention and systemic reform.

Ageing Population and Chronic Illness Trends

Australia faces immense pressure as Baby Boomers (the oldest of whom are currently 79) enter the aged care system. This demographic shift, particularly when combined with rising rates of chronic illness, will strain government budgets and service delivery capacity. Research indicates these trends will generate unprecedented demand for home-based care over the next two decades.

Workforce Shortages in the Aged Care Sector

The sector currently faces acute staffing deficits measured “in tens of thousands of workers”. Projections suggest these shortages could increase to approximately 285,000 people by 2049-50, primarily affecting aged care workers, nursing support staff, and personal care providers. One report identified a shortfall of around 35,000 direct aged care workers in 2025 alone—twice the deficit of the previous year.

Financial Sustainability of Demand-Driven Models

Meanwhile, financial modelling reveals significant concerns about long-term funding sustainability. Experts note that providing suitable aged care requires achieving EBITDA returns between AUD 27,521.82 and AUD 30,579.80 per bed annually. The cost of building new aged care facilities—estimated at upwards of AUD 764,495.12 per bed—underscores the capital investment challenges.

Conclusion – Home Care Package

The crisis facing Australia’s home care system demands urgent attention, as waiting lists continue to grow at an alarming rate. Thousands of elderly citizens remain trapped in a system overwhelmed by demand, despite incremental improvements in recent years. Undoubtedly, the postponement of 83,000 new packages until November 2025 has exacerbated an already critical situation, particularly affecting medium-priority cases who face waits of nearly a year for essential support services.

Furthermore, the complex assessment process adds additional barriers for vulnerable seniors. Many elderly Australians experience significant health deterioration while navigating these bureaucratic hurdles, often resulting in preventable hospitalisations or premature entry into residential care facilities. Though the government has released 20,000 packages ahead of schedule under mounting pressure, this represents merely a fraction of what experts consider necessary.

The challenges extend beyond current administrative bottlenecks. Australia faces profound structural issues as its population ages rapidly. Baby boomers entering their later years will place unprecedented demands on a system already struggling with workforce shortages measured in tens of thousands. Additionally, financial sustainability concerns loom large, with substantial capital investment required to meet future needs.

At its core, this crisis reflects a fundamental question about societal priorities. The ability for seniors to age with dignity in their own homes represents a basic expectation in a wealthy nation. Consequently, resolving the home care package delays requires not just administrative fixes but a renewed commitment to valuing and supporting older Australians through comprehensive policy reform and adequate resourcing. Only then can Australia honestly claim to provide equitable and accessible care for its ageing population.

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