Adelaide’s replacement Women’s and Children’s Hospital gets $550m in initial funding — and a delayed completion date

The State Government has started the process of funding the new Women’s and Children’s Hospital — but it’s already running behind schedule and is estimated to need another billion dollars.

• State Budget wrap: Big infrastructure investment but record debt
• Five-minute guide
• What it means for your suburb

A “down payment” of $550 million for a new Women’s and Children’s Hospital adjoining the Royal Adelaide Hospital aims to get the project underway for completion by 2025-26.

However, the final cost of the project will not be known until a business case is finalised later this year and it will be finished later than 2024 as originally envisaged.

There is speculation the cost will be around $1.5 billion, and Mr Lucas described the $550 million as a down payment.

“We don’t know yet what the final estimated cost will be,” he said. “We will work though that process in the coming months.”

Health and Wellbeing Minister Stephen Wade said the project would involve clinicians, consumers and key stakeholders.

The proposed design of the new Women's and Children's Hospital.

“This will be a state of the art, world-class hospital for families but we are also determined it will deliver value for the taxpayer,” he said.

“We have already collaborated with a range of experts so far and we are committed to continuing with a consultative process as we work towards the detailed planning phase.

“We are also committed to continuing to work with our frontline doctors and nurses to ensure we give them the right tools to provide world-class care well into the future.”

As well as cash for the hospital, the Budget has $537 million in new expenditure.

It also has $264 million previously announced for stage 3 of The Queen Elizabeth Hospital redevelopment and $97 million for Modbury Hospital for upgrades and new services, including a new acute surgical ward for complex elective surgery, and acute medical unit and a palliative care facility.

An artist’s impression showing the planned location for the new Women's and Children's Hospital — immediately west of the Royal Adelaide Hospital.

The Budget also commits $69.1 million over four years to reactive the Repatriation General Hospital site as a health precinct, including $30 million from the Federal Government.

Other new spending initiatives were relatively modest, against a background of SA Health overspending its 2018-19 budget by an estimated $95 million. Five million dollars was set aside for a statewide eating disorder service at the Repat site.

Another $5 million will pay for off-site storage and transport of paper medical records at the RAH, following the suspension of the troubled electronic patient record system EPAS, which was supposed to replace paper records.

The Royal Flying Doctor Service South East will receive $387,000 to develop a purpose-built clinic. The Budget also has $6.7 million to finalise the state’s full transition to the National Disability Insurance Scheme (NDIS).

Mr Wade said reforms had “significantly rectified the financial trajectory for SA Health” and delivered on election promises.

The government has reactivated the Repat and started the “financial and organisational recovery program in the Central Adelaide Local Health Network”, he said.

“We have restored 24/7 cardiac services at The Queen Elizabeth Hospital, implemented a world-first meningococcal B vaccination program for adolescents and young adults, and unveiled designs for major upgrades at Modbury Hospital,” he said.