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Government spending on aged care

This page has been updated with the latest data available, from 2016–17. You can download data directly from the visualisations by clicking in the graph area and using the 'download' menu.

Aged care services in Australia are funded by governments (federal, state, territory and local governments), non-government organisations (charities, religious and community groups), and personal contributions from those receiving care. Governments subsidise the cost of care and recipients contribute through fees and payments.

The majority of government spending on aged care services in 2016–17 went to residential care, followed by home care and support.
21% increase in government spending on aged care services between 2011–12 and 2016–17.

‘Government spending’ referred to in this section combines that of the Australian Government and state and territory governments. Around 96% of spending comes from the Australian Government. The data have been sourced from the Report on government services (SCRGSP 2018).

  • In 2016–17, governments spent around $17 billion on aged care, with the majority—approximately 69% of this—going towards residential aged care.
  • This expenditure on residential care was 2.7 times the amount spent on home care and support—$12.1 billion was spent on residential care and $4.4 billion on home care and support.
  • Government spending on aged care services has increased each year since 2011–12, as is seen in the graph below.
A stacked bar graph shows that government spending on aged care services has progressively increased between 2011–12 and 2016–17. In 2011-12, approximately 14.3 billion dollars was spent on aged care services, which has risen over past years to 17.4 billion dollars in 2016–17. Across all years, the majority of Government spending was spent on residential care, and assessment and information services accounted for the smallest proportion of total government spending on aged care services.

There is more information about government spending on aged care in the explore section. Find out how much money is spent, what it’s spent on, how spending has changed over time, and how spending varies among states and territories.