A National Health and Hospitals Network for Australia's Future

Chapter 8: Taking a reform plan to the states

The Commonwealth Government will take this Reform Plan to the states for agreement at a COAG meeting in April.

Should the states not agree to the Plan, the Commonwealth reserves its right to seek a mandate from the Australian people to implement the Plan.


A comprehensive reform plan

This document outlines a series of major reforms to the structure of our health system that will drive efficiency and better equip the system to meet future challenges.

Over the coming weeks and months the Government will announce additional reforms across a range of areas — including in public hospitals, GP care, health workforce, and e‑health. These reforms will tackle key pressure points in the system and deliver better health outcomes for the Australian community.

Putting our proposals to the states

The reforms outlined in this document represent the proposition the Government will take to the states at COAG in April.

Since November 2007, the Commonwealth Government has worked closely with states to deliver much‑needed improvements to the Australian health system. These include increasing public hospital funding, tackling pressure on emergency departments and elective surgery waiting lists, and training more doctors and nurses.

However, greater effort is required to ensure the long‑term sustainability and quality of Australia’s health system. The Commonwealth Government calls on state governments to continue the cooperation they have shown over the last two years to implement the important reforms contained in this Plan. These reforms are necessary to provide Australian taxpayers with a high quality, sustainable health care system into the future.

Under the National Health Reform Plan, in return for providing a secure funding base for public hospitals into the future, the Commonwealth will require the states to commit to system‑wide reform to improve public hospital governance, performance and accountability. These include the establishment of Local Hospital Networks, and cooperation with the Commonwealth on transferring funding responsibility for state‑funded general practice and primary health care services.

The Commonwealth Government will continue working closely with state governments through the COAG process to ensure the reforms in this plan are implemented as quickly as possible. These essential reforms are required as building blocks for future reforms, and to ensure that additional investment in the system is used efficiently and effectively.

Should the states not agree to the Plan, the Commonwealth also reserves its right to seek a mandate from the Australian people to implement the Plan. Furthermore, consistent with the Government’s previous commitments, the Commonwealth also reserves the right to then proceed to a full funding takeover of the system in the future.

The reforms outlined in this document are ambitious. Their implementation will require commitment to reform from all levels of government, as well as from the doctors, nurses and other health professionals who make up our health system.

As the NHHRC made clear, the Australian health system is at a tipping point. After extensive consultation with the Australian community, the Government is more convinced than ever that the time to act is now. Bold reform is necessary to ensure that Australians can access a high quality health system that is sustainable into the future.
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Page last updated 05 March, 2010