Aged care supply and demand update 2026

Bolton Clarke’s latest analysis of aged care supply and demand shows continued slow growth in new residential aged care beds, with future growth currently being further undermined by funding uncertainty.

Bolton Clarke Executive General Manager Policy, Advocacy and External Relations Tim Hicks said resident growth continued to outpace bed growth, although both were below expectations in the context of Australia’s ageing population.

“Bed growth has been constrained by weak financials, with future growth potentially being further undermined by the loss of confidence created by two consecutive years where funding growth has been well below cost increases, driven in part by IHACPA methodology problems,” Mr Hicks said.

“Resident growth may be being suppressed by bed shortages and growing delayed hospital discharge rates show significant health system impacts. Record home care package increases may also have eased demand.”

Read the report here.