Australia could ease pressure on overcrowded public hospitals by investing more heavily in palliative care, according to new proposals from Palliative Care Australia.
In its 2026 Federal Budget Submission, the national peak body argues that better access to palliative care, particularly earlier and in community settings, would help reduce so called hospital bed block while also delivering more compassionate end of life care.
Palliative Care Australia chief executive Camilla Rowland said hospital use is disproportionately high in the final year of life, often because people have not received the right support early enough or because their care preferences have not been respected.
“While many people genuinely need to be in hospital, others end up there because the system has failed to support them at home or in aged care,” Ms Rowland said. “Palliative care is a practical way to free up hospital beds while ensuring people receive care that aligns with their wishes.”
On average, Australians do not see a specialist palliative care service until just 15 days before they die. Ms Rowland described this as far too late, noting that early access to palliative care, at least 90 days before death, is associated with better outcomes and lower health costs.
Each day, more than 400 Australians die from a life limiting illness, yet around 62 per cent never receive specialist palliative care at any stage. Many clinicians outside specialist services report they lack the time and funding to meet growing demand.
Palliative Care Australia says its budget proposals are designed to shift care away from hospitals and into the community, where most people prefer to be cared for at the end of life. This includes clearer roles across hospitals, general practice and aged care, and funding reforms that support care outside acute settings.
Among its key recommendations, the organisation is calling for a redesign of the health system to clarify who is responsible for delivering palliative care and how it is funded. It also wants general practitioners to be better supported to provide palliative care, including funding for home visits and care coordination that Medicare does not currently recognise.
In aged care, Palliative Care Australia is urging the Federal Government to base funding and access to end of life pathways on need rather than predicted life expectancy, which it says is difficult to determine even for experienced doctors. The submission also calls for the removal of the 16 week limit on participation in the End of Life Pathway and for independent evaluations of prognosis based eligibility rules.
The budget submission proposes ongoing funding to permanently embed the Comprehensive Palliative Care in Aged Care program, which is due to expire in June 2026, as well as new primary care payments to better recognise palliative care delivered outside hospitals.
Another major focus is support at home for people under 65 with a terminal illness who are not eligible for the NDIS. Palliative Care Australia is seeking funding for a pilot program to provide non clinical support with daily activities, helping people remain safely at home instead of staying in hospital due to a lack of assistance.
Ms Rowland said these reforms would reduce unnecessary hospital admissions, speed up safe discharges and relieve pressure on emergency departments and wards.
“These are realistic and targeted changes that would ease bed block while giving Australians much better care at the end of life,” she said. “We want to work with the Federal Government and all jurisdictions to make a real difference for patients, families and the health system.”
