Support at Home Price Caps pushed to July 2025 – What this means for Providers

The Australian Government has announced significant changes to pricing arrangements for the Support at Home program. At LPA, we’re here to help you understand these changes and what they mean for your organisation.

Aged Care

From 1 July 2025, providers will continue to set their own prices for Support at Home services, as is currently happening under the Home Care Packages (HCP) Program. It is important to keep in mind that this will cross over with the introduction of a pooled care management approach, representing 10% of ongoing Support at Home classification funding.

By 1 July 2026, government-set price caps will come into effect, standardising costs across the sector. These caps aim to balance fairness for consumers with sustainability for providers. The government has committed to consulting with the sector, older Australians, and consumer advocates starting January 2025 to ensure these caps are informed by robust data and expert advice.

What does it mean for providers?

Providers must prepare for several new requirements and adjustments, including:

Transparent Pricing Discussions: From April 2025, providers will need to engage with participants to discuss and agree on service agreements and pricing ahead of the program’s commencement.

Publishing Prices: By July 2025, all providers will be required to share their Support at Home pricing information with the Department of Health and Aged Care. Additionally, providers must ensure their full pricing schedules are available on their own websites.

Adherence to Consumer Protections: Providers must comply with measures such as the ban on entry, exit, and hidden fees, and ensure participants are not financially worse off under the new program.

Monthly Statements: Providers will need to continue issuing monthly financial statements detailing the services delivered and associated costs, maintaining transparency for participants.

What can providers be doing now?

Prepare for Pricing Surveys: The Department of Health and Aged Care will conduct surveys of provider pricing from January 2025. Providers should be ready to participate and share detailed pricing data.

Engage With Stakeholders: Start planning how you will communicate changes to your participants and ensure your teams are equipped to handle pricing discussions.

Review Compliance Measures: Ensure your business is aligned with existing and upcoming consumer protections, including transparent fee structures and no hidden charges.

Monitor Sector Updates: Stay informed about the government’s consultations and developments in price cap arrangements, which are expected to be shared from March 2025.

How can LPA help?

At LPA, we understand the complexities of these changes and are committed to supporting providers through the transition.

Our services include:

  • Training and Education: Helping your teams understand the new requirements and implement effective communication strategies.
  • Compliance Support: Ensuring your operations align with the latest regulations and consumer protections.
  • Operational Guidance: Assisting with pricing strategy development and business adjustments to maintain sustainability under the new pricing framework.

For more information visit Department of Health and Aged Care’s Factsheet on Changes to Support at Home pricing

Get in touch with the LPA Team

Contact the LPA team below to discuss how we can support your organisation.