Some wins for regional Australia in Federal Budget, co-op and mutual sector says

26 March 2025

The Business Council of Co-operatives and Mutuals today said aged care residents in regional and remote Australia will benefit from last night’s Federal Budget but more should be done for those living outside capital cities who need better housing access.

BCCM chief executive Melina Morrison said the extension of the Care Together aged care program will allow the co-op sector to expand its reach in regional Australia, helping ensure facilities remain open and giving residents confidence that they can continue to live close to family in towns where many have resided for many years.

“Further funding for this program means the co-op sector can deliver business resources and professional support to the aged, disability and veterans’ care sectors. This is an integral part of the ongoing delivery of aged care reforms and the implementation of recommendations from the Royal Commission into Aged Care Quality and Safety,” Ms Morrison said.

The Care Together Program is currently overseeing ten care projects across regional Australia in markets where traditional models of care delivery have previously failed. The program includes piloting a shared services co-operative to bring back office efficiencies and support for geographically spread out services through a member-owned and operated platform. Ms Morrison said the $2.4 million expansion of the program will mean aged care co-ops, disability worker co-ops and community directed primary healthcare can be established in more towns and regions, as well as allowing them to secure their long term viability by widening their services and developing their own revenue streams.

Among the Care Together projects is the Murrumbidgee Aged Care Network, which has brought together nine residential aged care operators across south western NSW to share the burden of back office and regulatory compliance costs that were threatening their long term viability; and a community led aged care co-op in the West Australian wheatbelt town of Wagin.

“The significant expansion of aged care and housing policies unveiled in the Federal Budget will ensure many Australians can now rightly expect a better quality of life.

“The co-op sector looks forward to expanding the Care Together program with a particular focus on providing more comprehensive aged care services around the nation and particularly in regional areas,” Ms Morrison said. “Accessing high quality aged care and health services shouldn’t come down to where you live,” said Ms Morrison.

While the BCCM also welcomed the government’s commitment to expand the Housing Australia Future Fund as a direct way of addressing the national housing affordability crisis, Ms Morrison said it was unfortunate that the economic and community benefits of rental housing co-operatives were yet to be fully recognised when the Fund made allocation decisions.

“Government recognition of rental housing co-ops as a distinct and important model is growing but to date has not yet translated into any dedicated policy measures for the sector,”  she said.

Ms Morrison said there should be bipartisan support to adequately fund alternative housing models that will help ease the rental crisis. An extra $200 million to $250 million over three years would build 500 new houses a year, establishing the co-op model and helping ease the housing crisis as a proven and empowering build to rent model that provides resident with secure housing for life.

“Improved funding will help resolve the issues of supply and affordability in the housing sector while delivering rents that are fair for those who otherwise struggle to put a roof over their heads,” Ms Morrison said.

About the BCCM

The BCCM is the national peak body for Australia’s $43.2 billion co-operative and mutual sector.  Co-ops and mutuals provide essential services and affordable pricing to their members across the economy from banking, insurance and superannuation to retail, agriculture, health, social care and housing. One in eight Australians are members of a co-op or mutual.

Interviews

For further information or to discuss the recommendations with Ms Morrison, please contact Ian Pemberton at P&L Corporate Communications on 0402 256 576.

In the news

The budget impact on co-ops, AusBiz, 27 March 2025

Co-op sector says Budget’s aged care and housing plans will help many Australians: BCCM, Australian Rural & Regional News, 25 March 2025