Strategic investment in palliative care could ease hospital bed block, PCA says

Palliative Care Australia (PCA) is calling on the Federal Government to make targeted investment in end-of-life care a priority in the 2026 Budget, arguing that stronger community-based palliative services could significantly reduce pressure on Australia’s overcrowded public hospitals.

According to the peak body, hospital bed block is being driven not only by rising demand for acute care, but by gaps in palliative support that leave people with life-limiting illnesses with nowhere else to go. Many Australians nearing the end of life are admitted to hospital simply because appropriate care has not been put in place early enough, or because they are unable to remain safely at home.

PCA says this is costly for the health system and often distressing for patients and families, particularly when hospitalisation does not align with a person’s preferences for end-of-life care.

Chief Executive Officer Camilla Rowland said access to timely palliative care remains one of the most underutilised tools available to governments seeking to relieve hospital congestion.

“Spending on hospital care is highest in the final year of life,” Ms Rowland said. “While many people genuinely need hospital treatment, far too many end up there because the right supports were not available earlier, or because their wishes were not clearly documented or respected.”

She noted that Australians are typically referred to specialist palliative care services just weeks before death, limiting the ability of those services to manage symptoms, coordinate care and support people to stay in their preferred setting.

“Seeing palliative care for the first time just days or weeks before death is simply too late,” she said. “Earlier involvement can prevent crises, avoid unnecessary admissions and improve quality of life.”

In its budget submission, PCA is urging a shift away from late-stage, hospital-based intervention towards earlier, coordinated care delivered in the community, general practice and aged care. This approach, the organisation argues, would not only ease bed block but also better reflect the wishes of most Australians, who prefer to remain at home wherever possible.

Among the reforms proposed are clearer delineation of palliative care responsibilities across hospitals, GPs and aged care providers, along with improved Medicare funding to recognise the time and complexity involved in home visits and end-of-life care planning.

PCA is also calling for aged care funding models that are based on palliative need rather than estimates of life expectancy, which it says are unreliable and place clinicians in an untenable position. For people under 65 with a terminal illness, the organisation wants stronger foundational supports to prevent hospital stays driven purely by a lack of care at home.

Ms Rowland said these changes represent a practical response to ongoing hospital pressures while delivering more humane care.

“This is about smarter investment that benefits everyone,” she said. “With the right palliative care in place, we can reduce avoidable hospital stays, free up beds for acute patients, and ensure people at the end of life receive the care and dignity they deserve.”

PCA has indicated it is ready to work with governments and health services to implement reforms that strengthen the palliative care system and relieve strain across the broader health sector.