Changes to Australia’s Aged Care System 2025: Discovery Paper

The National Association of People with HIV Australia (NAPWHA) has been addressing HIV and ageing issues for several years. Modelling suggests that, by 2027, the highest proportion of people with HIV will be in the 55-59 age group and the average age will be 52 years (Bretaña et al 2018).

There is value in NAPWHA, its partners and communities keeping abreast of developments in aged care especially in a period of reform, as is the case in 2025. The new Aged Care Act 2024 comes into effect on 1 July 2025, replacing the Aged Care Act 1997 and the Aged Care Quality and Safety Commission Act 2018 (Department of Health and Aged Care 2024). Reforms to the Commonwealth-funded aged care system accompany the legislative changes.

This discovery paper addresses the following questions:

  1. What is new in the new Aged Care Act 2024?
  2. In the reformed aged care system, what does a Statement of Rights for older people look like?
  3. What is new for carers and supporters in the new aged care arrangements?
  4. In terms of entry to the aged care system, how are people assessed for residential aged care and home-based care?
  5. What are participant costs associated with care received?
  6. How is access to access to care and support assessed for people younger than 65?
  7. Which other (community based) services can also be accessed by service users?

What’s new in the Act?

The new rights-based Act shifts the focus from providers and towards ‘empowering older people and upholding their rights, needs and personal choices’ (Aged Care Quality and Safety Commission 2025). As such, it affects everyone connected to the aged care system, including older people, their families and carers; aged care providers; aged care workers; the broader care sector; and government agencies such as the Department of Health and Aged Care, and Services Australia (Department of Health and Aged Care 2024).

Key features

Key features of the new Aged Care Act 2024:

  • While the old Act focused on providers, the Aged Care Act 2024 seeks to empower and improve the lives of older people who are accessing aged care services, whether in their home, in the community, or in residential aged care.
  • The legislation sets the foundation for a forward-looking aged care system that includes a robust regulatory framework. Registered providers need to comply with their obligations, even when they subcontract the delivery of services.
  • The legislation outlines pathways for upholding the rights of older Australians, including complaints processes for service users and enforcement pathways to fix identified provider performance issues.
  • The new Act introduces a ‘registered supporter role’ – which can be filled by a trusted family member or friend – who strives to help the person receiving care to make and communicate their own decisions regarding aged care. Some in this new role may additionally have guardianship, enduring power of attorney, or other similar roles.
  • In recognition of the importance of home-based delivery of aged care services, the new Act expands the Serious Incident Response Scheme beyond residential care to include home care and flexible care delivered in a home or community setting.
  • The legislation promotes a key role for aged care workers in bringing the new Act to life and ensuring its success, including through a focus on continuous learning.
  • The reformed aged care system incorporates an enforceable Code of Conduct for Aged Care, strengthened Aged Care Quality Standards, and a Statement of Rights.

 

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