$530m construction starts on large-scale Townsville University Hospital

The hospital’s chief executive said it was now recruiting and using government incentives to attract a possibly 1000 strong workforce.

Health Minister Shannon Fentiman and Townsville Hospital and Health Service CEO Kieran Keyes turn the sod on the $530 million Townsville University Hospital expansion. Picture: Shae Beplate.

The ceremonial sod has been turned to mark a $530m expansion of the Townsville University Hospital, with the first stage to start immediately.

Health Minister Shannon Minister said construction is scheduled for completion by late 2026 which is aimed to cater for population growth in North Queensland.

The hospital aims to deliver an additional 143 beds in the upgrades which have an impact on community health needs across the region, but the first stage will centre on the construction of a temporary helipad and 330 staff car parks.

Construction will also include new operating theatres and acute rehabilitation services.

While a major road project has blown out of budget by 432m in South East Queensland, and while Ms Fentiman acknowledged construction pressures across the world, she assured that the hospital upgrades were within the budget.

Health Minister Shannon Fentiman said the upgrades are so far within schedule and budget, but she was determined not to see a reduction in services if the costs did increase. Picture: Shae Beplate.

She said the government was prepared to consider increased costs if managing contractors BESIX Watpac re-evaluated the existing designs.

“I have been very clear, we do not reduce services,” she said.

“So if there needs to be an increase in costs we have a contingency built into the Health Big Build, which is $14B, to accommodate for that.

Townsville Hospital and Health Service CEO Kieran Keyes said the hospital was recruiting to account for the upgrades set to be completed in late 2026. Picture: Shae Beplate.

“But at the moment we’re remaining on time and on budget.

“This is a very busy hospital and we want to make sure that we have the beds to cater for the future.”

The Big Build Fund was part of the Queensland Government’s health policy to boost healthcare for growing regions by adding expansions to 11 existing hospitals and while building three new ones.

Townsville is a growing region and has surpassed 200,000 residents and had a population growth of 1.7 per cent within a year according to a new data report.

Townsville Hospital and Health Service’s chief executive Kieran Keyes said the upgraded hospital would require hundreds of staff, and “possibly getting into the low 1000” of clinical support staff.

The construction itself is expected to support 1454 full-time jobs within the region.

Mr Keyes said the hospital was now recruiting to ensure the expanded hospital was staffed, but acknowledged the difficulty across the world of attracting a health workforce.

“There are some generous workforce incentives that the government have brought in that are helping right now to attract clinicians from interstate to come to Townsville and elsewhere in North Queensland,” he said.

Originally published as $530m construction starts on large-scale Townsville University Hospital