Jan 29, 2026

Aged care room prices climb 12%, while care minutes ease in December

The latest data from Mirus Australia reveals a slight easing in delivered care minutes in December 2025, alongside a notable year-on-year rise in advertised room prices across the aged care sector.

From November to December 2025, total care minutes per resident per day (PRPD) fell by 0.67 per cent, moving from 237.95 to 236.36. Registered Nurse (RN) minutes also declined by 0.65 per cent, dropping from 48.16 to 47.85. Other categories showed mixed results, with Enrolled Nurse (EN) minutes down 3.88 per cent, Assistant in Nursing (AIN) minutes down 0.54 per cent, while Allied Health and Diversional Therapy/Activities Officer minutes rose modestly by 2.34 per cent and 1.66 per cent respectively.

Non-care hospitality minutes increased by 2.52 per cent.

This modest decrease in care delivery follows several months of substantial growth that had lifted total care time well above the 215-minute target. The pullback in December indicates a stabilisation after that period of sustained increases.

Occupancy across the industry remained largely steady, dipping only 0.11 per cent to 92.78 per cent. The small decline stemmed mainly from a further drop in respite usage, which fell 30.61 per cent industry-wide and was now below usual levels after an earlier spike in September. This reduction was mostly balanced by a strong rebound in permanent admissions, which surged 76.09 per cent to 4,059 in December, recovering from a policy-related drop the previous month.

Average Daily Subsidy (ADS) held steady at $311.35, up a marginal $0.10, with recent monthly figures often appearing lower due to backdated reassessments that gradually lift funding over subsequent weeks.

A key trend emerging from the data is the continued upward pressure on room pricing. Throughout 2025, providers made significant adjustments to advertised prices in response to rising operational costs, shifting consumer expectations, and adaptations to new service models and cost structures.

Over 2,200 facilities raised their highest advertised room price during the year, while more than 2,400 increased their lowest price. The industry average advertised price climbed 12 per cent from December 2024 to December 2025, reaching $588,575.

In the most recent month, fewer providers adjusted prices compared with earlier in the year. Only 66 services increased their highest price, down 71.18 per cent from the prior period, and 61 raised their lowest price, down 87.50 per cent.

Despite the slowdown in December changes, the overall trajectory points to ongoing increases as providers seek to align pricing with economic realities and evolving demand.

These shifts highlight the sector’s efforts to balance quality care delivery, workforce demands, and financial sustainability in a changing regulatory and operational landscape.

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