Project purpose
The purpose of the project is to examine:
- how the existing aged care budget could service more people, more quickly
- whether current policy settings:
- perversely inhibit the number of people who can access services
- undermine the government’s promise to keep people ageing in place.
We are working with Adjunct Professor David Cullen to undertake the economic analysis and modelling. David was the inaugural Chief Economist of the National Disability Insurance Agency, prior to which he was Chief Economist at the Australian Government Department of Health.
Goals
The project aims to:
- test whether investing in preventive aged care services reduces demand and costs downstream
- assess if adequate investment in low-cost preventive supports can generate system-level efficiencies and improve outcomes for older Australians
- examine whether current funding and policy settings are enabling people to live independently at home for longer, or if they are contributing to earlier entry into residential care; and
- develop a robust, scalable methodology for evaluating the impact of preventive services across the aged care system.
The project will use theoretical economic modelling to help inform future policy and funding considerations within the aged care context.
Ultimately, we aim to identify opportunities to improve both equity and efficiency in aged care service delivery.
Timeframe
We anticipate the project will be completed before the end of the 2026 calendar year.
Deliverables
Before the fall: The economic case for early intervention in ageing support
The first product in this project is the monograph ‘Before the fall: The economic case for early intervention in ageing support’.
Prepared by Adjunct Professor David Cullen, the monograph explores how preventive interventions could improve quality of life and delay or reduce the need for more intensive, higher-cost care services including entrance to residential aged care.
It discusses the following 10 types of preventive interventions that can improve physical functioning and support greater independence in daily activities – while accruing economic benefits in the form of reduced demand for more intensive, higher-cost aged care services.
The monograph argues for an aged care system that prioritises prevention and ensures admission to residential aged care occurs because it is genuinely needed, not because earlier opportunities for support were missed.