Federal government announces $1.7 billion boost to strengthen Medicare and ease pressure on public hospitals
The federal government has announced a $1.7 billion boost to Medicare to fund Australia's under-pressure public hospitals.
Prime Minister Anthony Albanese today said he has committed the additional investment to strengthen the Medicare system to reduce waiting times, cut waiting lists down and deliver an overall structural health reform.
The one-off funding boost will be distributed across all states and territories, increasing the total Commonwealth funding for public hospitals and health services to $33.91 billion in 2025-26.
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Prime Minister Anthony Albanese announced a $1.7 billion boost to Medicare. 9News
"Labor created Medicare and we will protect it and strengthen it," Albanese told media today.
"Healthcare is the first issue I engaged with as a very young man, it's what brought me into politics, nothing's more important."
Albanese said today's funding announcement had been signed off ahead of the government going into caretaker mode during the upcoming 2025 federal election.
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The PM said the funding will address issues in the public health system. 9News
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Health Minister Mark Butler said Australia's public health system was in dire need of reform.
"We have a terrific public health system… but it is a hospital system under very serious pressure," Butler said.
"Our population is getting older and getting sicker.
"There is also still a long tail of COVID."
Minister for Health and Aged Care Mark Butler. 9News
Butler said the Northern Territory in particular desperately needed the funding, describing the current state as "grossly inequitable".
The NT will be given a $51 million one-off boost under the agreement.
NSW will be given $407 million, Victoria $402 million, Queensland $414 million, Western Australia $158 million and South Australia $169 million, while both Tasmania and the ACT will get $50 million.
Labor's announcement comes after the Australian Medical Association (AMA) called for a multibillion-dollar overhaul of Medicare.
The AMA this week announced its Modernise Medicare proposal to address critical issues in healthcare and general practice across the country.
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