Productivity commissioner warns NSW hospitals could house thousands of stranded aged-care patients

Hospital occupancy by patients awaiting aged-care placement in New South Wales has risen sharply, with numbers increasing from 761 to 1,063 in the past year. A report from the NSW Productivity and Equality Commission projects that, if current trends continue, over 7,000 patients could be stranded in hospitals within ten years, generating costs exceeding $1 billion per year. The commission highlights a gap of 2,600 needed aged-care beds annually compared with an expected provision of only 660.

It suggests exploring alternatives such as intermediate care facilities and calls for greater Commonwealth funding to match rising construction and operating costs. In response, the NSW government announced a $28 million pilot program to provide interim services like clinical and wound care, personal assistance, and domestic support. Health Minister Ryan Park emphasized the need for federal action, noting the pilot steps into an area traditionally handled by the Commonwealth.