Catholic Health Australia is calling on the Albanese Government to take the pressure off long public waitlists by paying for more patients to be treated privately and help subsidise soaring salaries. Source: Financial Review.
CHA, which represents 63 private hospitals, has also proposed a shake-up of the way patients are charged for hospital procedures with a fixed-price funding model, as well as forcing health insurers to contribute more funding.
“Without urgent action, private hospitals – particularly not-for-profit hospitals that put patients before profits and serve the most vulnerable communities – will continue to struggle, putting much-needed health services for thousands of patients out of reach,” Catholic Health Australia chief executive Jason Kara said in a 2024-25 pre-budget submission.
CHA’s members include St Vincent’s, Calvary, Mater, St John of God and Cabrini, making it one of the larger groups representing the sector battling with soaring inflation and staff costs, and lower patient numbers.
Hospital operators have warned more facilities will close without help, a headache for Labor leading into a federal election.
Health Minister Mark Butler, who conducted a review of the private hospital system last year, has indicated he has no appetite to bail out private operators, but in January proposed a series of short-term measures including expanding access to maternity cover.
Insurers also argue their profits are being unfairly targeted by politicians and rivals, and they return an average 88 cents to members for every dollar spent on premiums, the highest return for any type of insurance.
“The Government’s reforms announced last year will provide much-needed short-term relief, but we must take bold steps to guarantee the long-term viability of private hospitals,” Mr Kara said.
Catholic Health’s submission proposed measures to incentivise state and territory governments to utilise private hospital capacity for public hospital waiting lists.
It also called for tax incentives or rebates to private hospitals to offset the costs of wage increases, including paying superannuation contributions for some workers.
FULL STORY
Catholic Health’s new plan to fix hospitals at ‘breaking point’ (By Michael Smith, Financial Review)
Short-term reforms welcomed, but bold long-term action needed (Catholic Health Australia)
