Escalating Prices Force Meals on Wheels to Turn Away Seniors

Meals on Wheels, an essential service for many elderly Australians, is struggling to maintain operations amid escalating costs, leading to the exclusion of some seniors from their meal delivery programme. This alarming trend has seen some branches teetering on the edge of closure.

With the nation’s ageing population increasingly relying on in-home services, the demand for nutritious meals and welfare checks from Meals on Wheels is surging. However, Paul Sadler, the chair of the organisation, expressed grave concerns to the Herald Sun that federal funding is not keeping pace with rising expenses, particularly for fresh produce.

Sadler highlighted that the organisation had to increase meal prices, a move that poses a significant challenge for pensioners already constrained by the cost of living crisis. “Government support is crucial for our services to remain sustainable,” he stated. “For the first time in many years, several Meals on Wheels branches nationwide have had to stop accepting new clients. We cannot afford to let this vital infrastructure collapse.”

The Commonwealth Home Support Programme (CHSP), the primary funding source for Meals on Wheels, has not seen a funding increase for meals since 2019. Despite a cap at approximately $13.50 per meal, many branches receive only $7 to $8.

An EY study for the Independent Health and Aged Care Pricing Authority revealed that providing a CHSP-funded meal service actually costs $23, indicating that the government covers only about half the expense, with consumers or the service itself subsidising the rest.

This funding shortfall has led to around 15% of the 590 services nationwide closing their books. The government faces additional pressure to identify new meal delivery providers as more councils withdraw their in-home aged care services. In the past two years alone, over 20 Victorian councils have ceased offering services under the CHSP.

Meals on Wheels is currently developing a proposal for a new funding model, which it plans to present to the government in the coming months.

A spokeswoman from the federal health department acknowledged the occasional viability challenges faced by individual providers but stated there was no evidence of widespread issues across the Meals on Wheels network.

She added that Meals on Wheels providers would transition to a new in-home aged care programme from July 2027, which promises “fair and efficient prices” based on recommendations from the Independent Health and Aged Care Pricing Authority.

In Victoria, the situation is particularly dire, with the state’s Meals on Wheels branches facing significant reductions in service due to dwindling support from external suppliers and local governments. The state’s peak body has released a report detailing the severe difficulties encountered by Meals on Wheels Victoria, calling for renewed funding and government subsidies.

The report reveals that some areas have seen drastic reductions in meal services due to uncertainties surrounding CHSP funding. Nelson Mathews, the state manager, noted that changes to the nearly 70-year-old programme under the Federal Government are profoundly affecting Victorian branches and recipients.

Regular meal deliveries and health monitoring have been reduced to mere transactions, stripping away the social connections and volunteer opportunities integral to the service.

“The erosion of this health service, designed to help people live at home longer and reduce hospital visits, is leaving many vulnerable Victorians nutritionally, physically, and socially at risk,” Mathews said. He emphasised the need for an urgent review and impact assessment on smaller communities should the service collapse.

“Investing in preventive health care is more crucial than ever, especially given the current strain on the healthcare system. The dilution of this essential service is illogical.”