Older Australians are the losers when it comes to government support

Aged care residents with similar impairments to people on the NDIS receive around a quarter of government-funded support, a new analysis reveals.

Older Australians with similar impairments to people qualifying for the National Disability Insurance Scheme are receiving as little as a quarter the level of government-funded support, a leading aged care provider group says.

In one example, a 63-year-old vision-impaired man on the NDIS is receiving $86,000 a year more in government assistance than an 84 year-old man with similar issues on an aged care Home Support Package, the analysis by Leading Age Services Australia finds.

The disparity stems from Australia’s “capped” funding system for aged care, while NDIS recipients receive all “reasonable and necessary support” to a wide range of uncapped services and supports, a difference LASA says should be addressed by the Morrison government in its budget response to the aged care royal commission’s final report.

The government will outline its substantial response to the commission’s 148 recommendations in the May budget, and key among them is making access to quality aged care a legal and enforceable right, unfettered by the current rationing of packages and places.

Aged care and disability support each represent about 1.2-1.3 per cent of GDP, with aged care programs reaching 1.3 million people in 2020 compared to about 430,000 in the NDIS. But the majority of aged care recipients receive Commonwealth Home Support Packages, which are at the entry level of the care spectrum.

LASA’s funding analysis of the two programs concludes that older Australians are the losers.

“Total government funding for aged care recipients averages around one-quarter of that allocated to NDIS participants,” LASA chief executive Sean Rooney said.

“Overall we see less funding per aged care recipient and this results in fewer available hours of care when compared with NDIS participants, plus there are limits placed on funding in aged care for reablement, social engagement, behaviour support, care management and assistive technology.”

The analysis acknowledges it is difficult to compare individual circumstances of an aged care recipient and an NDIS client, but says “many, if not most, of the people receiving aged care have functional impairment similar to those qualifying for the NDIS”.

“The majority of support services for NDIS participants (82 per cent) are concerned with supporting activities of daily living and engaging in social and community activities. These support types are similar to those identified within aged care programs,” it says.

It compared a number of real life situations, including that of a 63-year-old man who is vision-impaired but has no cognitive impairment and qualifies for NDIS funding, and an 84-year-old man who is also vision-impaired with no cognitive impairment who receives support through a Home Care Package.

The NDIS participant receives 36 hours a week of supported care, a seven day holiday each year with 24-hour care support, $7750 for allied health services and home modifications. The Home Care Package recipient receives six hours of care per week, $25 a week for taxis and $64 a week for meal preparation. The analysis concluded that the funding difference was about $86,000 per year.

Leading Age Services Australia CEO Sean Rooney Picture Gary Ramage

Mr Rooney said he was not suggesting NDIS recipients received too much support but that aged care should be brought up to an appropriate level based on need.

“The NDIS shows how, with commitment, we can meet the needs of those in need of support in our community,” he said. “As the royal commission found, our aged care system is a long way from this.”

Overall the report found that for care recipients requiring high levels of funded support, the average nursing home resident received about half the funding provided to NDIS participants accessing specialist disability accommodation.