Older Australians wary of paying more for aged care, poll shows

From The West Australian, written by Katina Curtis

A majority of Australians nearing retirement say they personally do not want to pay more to receive higher quality aged care amid a bipartisan push to overhaul the system to ease pressure on the Federal Budget.

But more than half of those polled in a new survey agree that wealthier aged-care residents should pay more for their own care to help ensure the system’s financial sustainability, The Sunday Times can exclusively reveal.

The Government last week unveiled a bipartisan deal that means those who can afford to will pay more for aged care, both in their homes and in residential facilities, if they enter the system after July 2025.

Taxpayers will still cover the costs of clinical care, but individuals will pay more for everyday living services, with a cap on contributions of $130,000 across both settings combined.

Government modelling suggests only one in 20 people would hit that $130,000 cap.

Under the changes, self-funded retirees with significant assets of more than half a million dollars would pay an extra $13,400 for residential care, according to Government figures provided in case studies.

Fully supported pensioners would pay about $300 more than under the existing arrangements.

A Senate committee examining the legislation will report back at the end of October, paving the way for the Bill to pass this year.

A poll of 1000 Australians by Talbot Mills Research held over the week before Prime Minister Anthony Albanese and Aged Care Minister Anika Wells announced the plans found 58 per cent agreed with the principle that wealthier people would pay more, while 27 per cent disagreed.

Men were more likely to agree than women, who historically have retired with lower savings balances.

But when asked if they personally would be prepared to pay more to receive higher quality aged care, the number of backers dropped to 47 per cent.

Under-30s were the most likely to be open to the idea, with 59 per cent agreeing.

The proportion in favour fell as people aged, with just 34 per cent of over-60s saying yes.

But people with household incomes over $100,000, Labor voters and those who lived in the city were all more likely to say yes.

Talbot Mills Research director David Talbot said an overall 47 per cent in favour was a good base to build from in making the reforms.

“These are encouraging early numbers for the Government when it comes to its aged-care reforms,” he said.

“It’s worth noting that respondents didn’t consider potential grandfathering provisions, and this information may see a lift in support amongst the older age cohort.”