Federal government urged to step in to save Hobart Clinic from closure

Tasmania's state government and federal opposition have demanded urgent federal intervention to save Hobart's 27-bed mental health clinic from imminent closure.

Jonno Duniam, Mark Buttler and the Hobart Clinic

The state government and federal opposition are demanding the Albanese Government step up and find a way to save the troubled Hobart Clinic, which is slated to close by the end of the month.

The 27-bed clinic is financially viable to continue operating. A state government offer of $2m to keep the clinic open for another six months has not yet been accepted.

The clinic’s board is expected to met next week to consider its next move.

Liberal Senator Jonno Duniam speaks to the media on the Hobart waterfront on Wednesday, April 30, 2025.

Liberal Senator Jonno Duniam said Tasmanians were again paying the price for the federal Government’s failures to solve a crisis in the nation’s private health sector.

“Rebecca White, as Federal Assistant Minister for Health, and Julie Collins, as the local Federal Member, must step up and advocate for Southern Tasmanians, especially those on the Eastern Shore, and work with the Board of the Hobart Clinic to ensure the Albanese Government does not leave the community without vital mental health support,” he said.

“Tasmanians deserve better than a federal government that turns its back on people in need of mental health care.”

“The Albanese Government must urgently outline its plan to address the challenges facing Australia’s private hospitals and safeguard the future of mental health care in Tasmania.

Minister for Health, Mental Health and Wellbeing Bridget Archer said the federal government should be playing a role.

Hobart Clinic at Rokeby. Picture: Caroline Tan

“I have requested the Federal Government and specifically the Tasmanian Assistant Minister for Health, Rebecca White, work with The Hobart Clinic to ensure it can remain open for the long term and help those who need it,” she said.

“Time and time again, the State has stepped in to resolve Federal responsibilities, but it is now incumbent on Ms White to stand up for Tasmania, and start demanding more action from the Federal Government.

“I have already discussed these matters in person with the Federal Minister for Health and Ageing, Mark Butler, and have also written and spoken to Ms White in recent days requesting action is taken on these important issues.

She said the federal government could help the clinic with the required feasibility work that will be needed in the next six months to ensure their operating model is sustainable, or providing with capital upgrades.

Rebecca White. Picture: Nikki Davis-Jones

Ms White said the clinic has not asked for federal help.

“I recognise this has been a difficult time for patients and staff who rely on the Hobart Clinic.

“In conversations with the State Health Minister I understand that the $2m that has been provided can be used to fund the feasibility study if that’s what the Hobart Clinic Board decide to do.

“The Federal Government hasn’t received any representations from the Hobart Clinic.

“I encourage the Hobart Clinic to continue to work with the state government on the next steps.”

Shadow Minister for Health and Aged Care, Senator Anne Ruston in Townsville. Picture: Evan Morgan

Federal Shadow Minister for Health Senator Anne Ruston accused Minister for Health Mark Butler of “watching” as private hospitals collapse across the country.