There are some areas of the new Aged Care Act and Support at Home Program that are still to be finalised by 1 July 2025, including:
Therefore, we recommend you check this blog frequently for any updates. Last Updated on 20/04/2025
In response to the findings released in 2021, a wide range of reforms was implemented immediately, and others have been rolled out since that time.
The raft of changes to be implemented on 1 July 2025 represents the most significant improvements from the Royal Commission and will put the rights of older people at the centre of care and services, holding providers to account.
Term | Definition | Previously Known As |
---|---|---|
Aged Care Worker | Employees, contractors, and volunteers of an aged care provider | Worker, staff |
AT-HM Scheme | Funding is available for Support at Home participants for Assistive Technology and Home Modifications. | GEAT, Goods, Equipment, Assistive Technology, Home Modifications. |
Care Partner | A person who provides care management for participants in an ongoing class (1-8) or who is accessing the End-of-Life Pathway | Case Manager, Care Coordinator |
Restorative Care Partner | A person with relevant university health-related qualifications who provides care management services for participants accessing the Restorative Care Pathway. | Case Manager, Care Coordinator |
Continuity of Care | Aged Care Act definition not yet released. | Security of tenure |
End-of-Life Pathway | A short-term funding stream is available under Support at Home for participants who have been diagnosed with a life expectancy of 3 months or less and wish to remain at home. | Not previously provided under the Home Care Package Program |
Funded aged care services | Aged care services are delivered by registered providers who receive government subsidies. | Care and services |
Individual | A person eligible for or receiving funded aged care services | Older person, consumer, |
Integrated Assessment Tool (IAT) | The new assessment tool is used to determine an older person’s eligibility for aged care services. | National Screening Assessment Form (NSAF) |
Participant | An individual received funded aged care services through the Support at Home Program | Home care package recipient, consumer, client |
Registered provider | A provider of funded aged care services who has been approved and registered by the Aged Care Quality Commission. | Approved provider |
Responsible Person | Any person who:
| Key Personnel |
Restorative Care Pathway | A short-term pathway providing up to 12 weeks of intensive allied health and/or nursing services and supports aimed to help the participant regain function and/or manage new or changing age-related conditions. | Short-term Restorative Care, Flexible Care |
Rules | The Aged Care Act subordinate legislation. | Principles (Quality of Care, User Rights, Accountability, etc.) |
Statement of Rights | The rights to which individuals are entitled to as set out in Section 23 of the Aged Care Act 2024. | Charter of Aged Care Rights, the Charter |
Strengthened Aged Care Quality Standards | The new Aged Care Quality Standards that will be effective from 1 July 2025. | Aged Care Quality Standards |
Supporter | A person or persons nominated by an individual to assist them in their decision-making. Supporters are registered with My Aged Care. | Representative, next of kin |
With all the changes coming on 1 July 2025, there are a lot of numbers flying around, and it is easy to get confused. So, before we discuss these changes, here is a quick explainer:
After July 1, 2025, only the Blue numbers are relevant. However, as you will see from other information in this blog, they still overlap at times, so it’s essential to understand the difference.
The Aged Care Bill 2024 was passed through parliament towards the end of 2024, and since then, further consultation has been undertaken to finalise the subordinate legislation, which will be known as the Rules (previously referred to as the Principles).
The new Aged Care Act 2024 contains a number of improvements on the previous Act, including:
More information on the new Aged Care Act can be found here: https://www.health.gov.au/our-work/aged-care-act
The infographic below illustrates how current aged care programs will be transitioned to the new regulatory model, noting that the Commonwealth Home Support Program will only be fully integrated under the Support at Home Program in 2027 and cease to exist as a standalone program. Until then, it will be referred to as the Specialist Aged Care Program but will be regulated under the new Aged Care Act (see CHSP Providers section for more details)
The other aged care programs depicted in the diagram below, which will be known as Specialist Aged Care Programs from 1 July 2025, are:
Many existing provider obligations and responsibilities will remain in place or be amended or strengthened. Consultation is still in progress, and more details will be made available in the updates section of this blog as they become available.
In summary, though, ALL registered aged care providers will be required to continue meeting the following obligations:
The Aged Care Quality Standards have been strengthened under the new Aged Care Act and new regulatory model in response to the Aged Care Royal Commission, which found they did not adequately support:
The existing Aged Care Quality Standards, comprising eight standards, will be superseded by the Strengthened Aged Care Quality Standards, which combine some existing standards and introduce new ones.
The diagram below provides a simple overview of the incoming new standards.
Note that providers of Support at Home, depending on their registration category, are required to meet Standards 1 through 5. Only Residential Care Providers are also required to meet Standards 6 and 7.
For Residential Care Providers, there is a significant strengthening of the regulation of food and nutrition to ensure that people living in residential care are provided with nutritious and tasty food, as well as an enjoyable dining experience, that meets their preferences and assessed needs, upholds their dignity, and delivers real choice.
Six registration categories will follow a risk-based approach in grouping service types based on complexity and risk. Therefore, the registration requirements and associated provider obligations are risk-proportionate, as is the regulatory oversight applied. Providers registered into categories 1, 2 and/or 3 must meet standard provider obligations and must ensure they deliver care and services in accordance with the Strengthened Aged Care Quality Standards, but will not be subjected to audits by the Aged Care Quality and Safety Commission.
Providers registered into categories 4, 5 and/or 6 must comply with the Strengthened Aged Care Quality Standards and will be audited by the Commission.
The following table summarises the way the new regulatory model is applied based on registration categories:
Reg Category | Description | Service Types | Provider Obligations | Code of Conduct | Audit of Standards |
---|---|---|---|---|---|
1 | Home & community services |
| YES | YES | NO |
2 | Assistive technology & home modifications |
| YES | YES | NO |
3 | Advisory and support services |
| YES | YES | NO |
4 | Person care and care support in the home and community, including respite |
| YES | YES | YES 1, 2, 3, 4 + 5.1 (Clinical governance) |
5 | Nursing and transition care |
| YES | YES | YES 1,2,3,4,5 |
6 | Residential care, including respite |
| YES | YES | YES 1,2,3,4,5 + 6 & 7 |
Let’s clarify one of the most common sources of confusion: how, as a provider, your registration category relates to the Strengthened Aged Care Quality Standards, and whether or not you’ll be audited.
On the left-hand side of the following picture, you’ll see the six registration categories mentioned above.
You’ll also notice the arrows connecting each registration category to different areas of the Strengthened Quality Standards. These show which standards each provider must comply with. For example, if you are registering under categories 1, 2, and 3, your application must address Standards 1 through 4. If you are registering under category 4, in addition to standard 1 to 4, you should address standard 5.1, which is a proportion of standard 5.
If you provide registration category 5, you must meet Standards 1 to 5. And. In some cases, such as residential care, you will need to meet all seven standards.
So, in summary, the registration category you select determines which quality standards apply to your service in addition to other requirements, such as the Code of Conduct and Provider Obligations that are applicable to all registration groups.
Now, look at the red magnifying glass icon. That means an audit is required for that registration category — so Categories 4, 5, and 6 will all be audited as part of the registration process, but the registration Categories 1, 2, and 3 may be required to demonstrate compliance if their registration is ever at risk due to a serious complaint or other event.
Registered providers will be invited by the Commission to renew their registration prior to the expiry of their current registration period, and then the following steps will occur:
This new system provides a single assessment pathway for individuals, including when their needs change. The Single Assessment System workforce commenced operations at the end of 2024, amalgamating three different assessment workforces: the Regional Assessment Service (RAS), the Aged Care Assessment Teams (ACAT), and AN-ACC assessors for residential care. The assessment tool now used to determine eligibility for government-subsidised aged care is the Integrated Assessment Tool (IAT).
All CHSP clients must be assessed to be eligible to receive or continue to receive CHSP services, and any who are currently receiving CHSP services without an assessment must be assessed by 30 June 2025.
New First Nations assessment organisations will be stood up from 1 July 2025 to ensure that culturally safe and appropriate pathways are available for Aboriginal and Torres Strait Islander people eligible for aged care services.
Under the new Aged Care Act 2024, the Charter of Aged Care Rights will be replaced with the Statement of Rights. The Statement of Rights is similar to the Charter, but the language has been strengthened to align with the rights-based new Aged Care Act, providing enhanced descriptions of each individual’s rights and clarity to aged care providers about their obligations and the consequences of breaching these rights.
A fact sheet about the Statement of Rights can be viewed at this link: A new Aged Care Act for the rights of older people
Providers registered to deliver care and services under the new Support at Home Program will be required to meet Strengthened Standards 1 to 4 and may need to meet some or all outcomes under Standard 5 if they deliver services from categories 4 and 5.
Providers registered in categories 1, 2 and/or 3 will not be audited against the Strengthened Standards unless the Commission believes participants are at risk, however, providers registered in categories 4 and 5 will be audited as part of the registration and renewal processes.
Existing and prospective home care providers should read this full blog to understand all the changes to aged care programs, the regulatory model, and the Strengthened Aged Care Quality Standards.
The Support at Home Program will encompass the existing Home Care Package Program and the Short-term Restorative Care Program.
CHSP and other specialised programs will transition under the Support at Home Program no earlier than 1 July 2027.
Participants under the Support at Home Program will have their services managed by a single provider, and it is a requirement that all participants receive care management.
This means that any registered provider wishing to receive the participant’s subsidy must be registered in Category 4 at least and provide personal care and care management. They will also be required to meet Outcome 5.1 Clinical Governance under the Strengthened Quality Standards (see Registrations Categories).
To deliver and therefore claim for nursing services, registered providers will also need to be registered in Category 5.
There will be eight classification levels (previously 4 levels under HCP), and the eighth funding level exceeds the current HCP level 4 package by around $16,000 annually.
These are the indicative budget amounts for each classification level. Please note that these are approximations only, and the amounts may change before 1 July 2025.
Class | Approx. Annual Budget | Approx. Daily Rate |
---|---|---|
1 | $11,000 | $30 |
2 | $16,000 | $44 |
3 | $22,000 | $60 |
4 | $30,000 | $82 |
5 | $40,000 | $110 |
6 | $48,000 | $132 |
7 | $58,000 | $158 |
8 | $78,000 | $214 |
There are also additional funding streams for Assistive Technology and Home Modifications (AT-HM) that would previously have been deducted from the Home Care Package budget. These tiered funding amounts are allocated based on the assessed need of the participant, that is, low, medium or high. For example, a participant with complex needs would be allocated a high tier of funding to ensure all goods and equipment required for their care can be purchased.
Participants will also have access to short-term funding supports such as the Restorative Care Pathway (replacing the Short-term Restorative Care Program) and the End-of-Life Pathway (new funding). Participants accessing these pathways can also access AT-HM funding to purchase goods, equipment, or home modifications to meet their needs.
The table below outlines the expected amounts for other funding streams, noting that these may change prior to 1 July 2025.
Assistive Technology | Home Modifications | Restorative Care Pathway | End of Life Pathway |
---|---|---|---|
Low – $500 | Low – $500 | $6000 | $25000 |
Medium – $2,000 | Medium – $2,000 | Plus AT-HM funding | Plus AT-HM funding |
High – $15,000 | High – $15,000 | 12 Weeks | 12 Weeks |
Must be spent within 12 months | Must be spent within 12 months. Capped at $15K over lifetime. | Restorative care management is undertaken by a clinically qualified Care Partner. | Same services as under SAHP |
Overall, the higher classification levels (up to 8) and the additional funding streams described in the table above mean that participants of the Support at Home Program have access to high levels of funding to keep them at home for longer.
Under the Support at Home Program, service types are grouped into three care domains. These will also be the basis of participant contribution levels, with service types supporting everyday living attracting the highest contribution level in recognition that these services – such as cleaning, home and garden maintenance, and delivery of meals – are not usually subsidised by the government at any other stage of life. The table below demonstrates this new approach:
Category | Service Types | Participant Contribution Level* |
---|---|---|
Clinical Supports |
| None – The government will fully fund these services for all participants |
Independence |
| Moderate – Recognising that these services contribute to overall wellness, reduce hospitalisation and delay entry to residential care. |
Everyday Living |
| High – As the government does not usually subsidise these services at any other stage of life |
* Participant contribution levels are yet to be finalised.
Price caps on services under the Support at Home Program are being developed by the Independent Health and Aged Care Pricing Authority and will apply from 1 July 2026.
From 1 July 2025, and until capped pricing commences, providers are expected to set their own prices. For guidance on setting prices for the 2025 financial year, it is recommended that you consider the information contained in the Summary of Indicative Support at Home Prices Factsheet published by the Department of Health and Aged Care, which contains price ranges reflecting what current Home Care Package providers state they are intending to charge under Support at Home.
Summary of indicative Support at Home prices
Don’t forget – if you are an existing provider with home care package clients transitioning over to the Support at Home Program, you must discuss and agree on your intended price changes with your clients as soon as possible and provide them with a new service agreement. Information about transitioning existing home care package clients can be found in the Support at Home Program Manual and the Support at Home program provider transition guide.
CHSP will maintain current CHSP national unit price ranges with standard indexation applied annually, as usual. Price loading will now include MM5.
Package management will no longer be a separate billable service type, and the costs that were previously covered by this fee under the Home Care Package Program are now expected to be incorporated into service pricing (see information under Capped pricing).
Supported decision-making involves helping an individual (previously referred to as consumer or older person), make or communicate their own decisions, thereby maintaining control over their lives.
A key feature of the new Act is the presumption that every individual has the ability to make decisions, and recognition that some may want or need support to make those decisions.
Under the new Act, individuals can choose who can support them in making decisions, when and if they want or need support, and these people will be known as registered supporters.
Registered supporters can be individuals who also hold a guardianship or power of attorney role, or they can be trusted family members or friends. The difference is that a registered supporter who is not a guardian or power of attorney does not have decision-making power on behalf of the individual; their role is to support the individual to make their own decisions.
The registered support role replaces the existing roles of regular and authorised representatives in My Aged Care.
More details about this important change can be viewed here: Department of Health and Aged Care – Supported Decision Making.
These new standards have been implemented to strengthen financial governance and thereby support and improve the sustainability of aged care providers, ensuring they can deliver high-quality care to individuals and minimise risk to care continuity. They will replace the existing four Prudential Standards (Governance, Liquidity, Disclosure, and Records), and from 1 July 2025, some home care providers will be required to meet them.
The changes are summarised as follows:
Current Standards | New Standards |
---|---|
New Standards | Financial and Prudential Management Standard |
Liquidity Standard | Liquidity Standard (Strengthened) |
Disclosure | Moved into the New Aged Care Act Rules |
Records | Moved into the New Aged Care Act Rules |
Investment Standard |
The new standards and the provider categories they apply to are as follows:
Standards | Who it applies to |
---|---|
Financial and Prudential Management Standard | Category 4 & 5 Home care providers Residential care providers* |
Liquidity Standard | Residential care providers* |
Investment Standard | Residential care providers* |
*Excluding government entities and local government authorities.
More information can be viewed here: The new Financial and Prudential Standards.
Your provider application will still be assessed under the requirements of the current Aged Care Act (1997) and Aged Care Quality Standards.
If you are successful before 30 June 2025:
If a decision has not been made before 30 June 2025:
Reforms impacting residential care are still being finalised and released; however, here are some changes existing providers can expect:
From 1 July 2025, CHSP providers will be subject to the new Aged Care Act 2024 and will be regulated in the same manner as other aged care programs.
CHSP providers will be required to register with the Aged Care Quality and Safety Commission and be deemed into applicable registration categories for each service delivered under the new universal provider registration. For example, a CHSP provider delivering Domestic Assistance and Home Garden Maintenance will be registered under Category 1. If the same provider provides personal care, they will be registered under Category 4. The Commonwealth Home Support Program will be known as a Specialist Aged Care Program.
CHSP providers must also comply with the new Aged Care Act, including meeting provider obligations relating to the following:
More details can be viewed at this link: The new regulatory model: Guidance for CHSP providers
CHSP providers will commence monthly reporting through the Department of Social Services’ Data Exchange, against the new Act associated service list, which includes the client’s My Aged Care ID. From October 2025, more details will be required in this reporting relating to travel, meals, settings, timing, etc. The Department will issue a provider toolkit and access to a staging environment (for testing changes and interfaces) to assist with these changes.
A fact sheet outlining the proposed changes to Data Exchange (DEX) reporting can be viewed here: Data Exchange from 1 July 2025 – Fact sheet
The way CHSP services are described, regulated and delivered will change to align with the Support at Home Program, and standardise the service list across all in-home aged care programs. This means that the names of many service types and services will change, and inclusions and exclusions will be defined and clarified for some services.
A fact sheet outlining the changes can be viewed at this link: Proposed changes to the CHSP Service List from 1 July 2025
If you are not yet across all the changes coming to CHSP, it is recommended that you review this webinar the Department of Health and Aged Care website:
Commonwealth Home Support Programme 2025-2027 extension and reforms update
CHSP will not transition to Support at Home Program on 1 July 2025 with HCP and STRC providers, but it is expected to transition on or after 1 July 2027. In relation to that timeline, the 2025-2027 extension process is underway with a new grant agreement that will be valid for two years from 1 July 2025.
At this time, there are no changes to the current client contribution arrangements for CHSP.
Existing providers should ensure they understand which Strengthened Aged Care Quality Standards apply to their registration categories and how they will be expected to demonstrate compliance.
If you are already delivering aged care under the Commonwealth Home Support Program, the Home Care Packages Program, or the Short-term Restorative Care Program, or you are a Residential Care provider, the key steps are:
We recommend that you use the following checklist to prepare your organisation and your workers to meet the Strengthened Aged Care Quality Standards: Provider Readiness Checklist.
New providers should also ensure they understand which Strengthened Aged Care Quality Standards apply to their registration categories and how they will be expected to demonstrate compliance.
If you register as a new aged care provider on or after 1 July 2025, the Commission will audit you against the Strengthened Standards as part of your registration process and conditions if you are seeking registration in categories 4, 5, or 6, therefore you must be able to demonstrate compliance prior to commencing care delivery. If you seeking registration in categories 1, 2, or 3, although you will not be audited, you must still deliver care and services in accordance with the Strengthened Aged Care Quality Standards, and you would be expected to demonstrate this if requested by the Commission.
We recommend taking the following steps prior to submitting your application for registration:
We recommend that you use the following checklist to prepare your organisation and your workers to meet the Strengthened Aged Care Quality Standards: Provider Readiness Checklist.
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