Final Aged Care Rules released as sector prepares for historic reform

The Federal Government has released the final draft of the Aged Care Rules, giving providers the clarity they need to begin preparing for one of the most significant legislative overhauls the sector has seen in decades.

Set to commence alongside the Aged Care Act 2024 on 1 November 2025, the Rules outline the practical details for how aged care providers must operate—covering governance obligations, service agreements, reassessment processes, and reporting requirements.

Minister for Aged Care and Seniors Sam Rae said the release marks a key moment in the Government’s reform journey.

“We’re getting on with the job of delivering generational change to make sure every older Australian can live with the best care, dignity and support,” Minister Rae said.

“The release of the Rules is another meaningful step towards a new rights-based Aged Care Act that delivers the dignified care older Australians deserve.”

What’s changed?

The Rules follow extensive sector consultation between September 2024 and May 2025, with more than 400 submissions informing a raft of revisions to the initial drafts.

Among the key updates are:

• Simplified terminology: The removal of the term ‘representative’, replaced with a more flexible system allowing older Australians to nominate supporters via My Aged Care. Definitions of ‘practitioner’ have also been broadened to include non-AHPRA registered but qualified professionals.
• Expanded service access: Caps on cleaning and gardening services have been removed, and assistive technology may now include loanable equipment.
• Residential care reforms: The cooling-off period for ongoing residential care has been extended to 28 days.
• Clearer financial terms: New provisions for applying the Higher Everyday Living Fee (HELF), including notice periods and bundled service charges, have been outlined.
• Sharper obligations: Incident reporting must now consider non-cognitive impairments, and updated rules clarify transitional arrangements for workforce screening.
  

Providers will also need to ensure new service agreements reflect the Statement of Rights and Principles, key pillars of the rights-based approach underpinning the Act.

“Time to get ready”

With the Act now just over three months away, the Government is urging providers to use this period to build their readiness.

“We’ve released the Rules three months before the new Act comes into force,” Minister Rae said, “giving providers time to implement new systems and processes, and train workers to deliver the best care to our loved ones.”

The Aged Care Act 2024 was originally scheduled to commence on 1 July but was delayed to 1 November to give providers more time and to allow for finalisation of supporting legislation. The delay was widely supported by aged care organisations, many of which had raised concerns about workforce capability, system integration, and financial compliance under the proposed rules.

Sector response: Supportive, but watchful

The release of the Rules has been broadly welcomed, though some areas remain under scrutiny.

Advocates have praised the removal of prescriptive service caps and the inclusion of stronger consumer rights. However, industry stakeholders have expressed ongoing concern around the financial and operational pressure associated with HELF implementation and liquidity requirements.

Workforce readiness also remains a key issue. Several providers are seeking further guidance from the department on how to apply new workforce screening provisions, particularly in rural and remote areas where recruitment remains difficult.

Meanwhile, advocacy groups such as Anglicare Australia have pointed to the growing backlog in home care—now exceeding 100,000 older Australians—as a reminder that system reform must be matched by service availability.

What’s next?

Providers are now expected to:

• Review the final Aged Care Rules in detail
• Update governance, IT systems, and client documentation
• Train frontline staff on new rights-based standards and reporting duties
• Prepare for the implementation of the Support at Home program, also due to launch in November

The Department has indicated it will provide additional implementation guidance and resources in the coming weeks.

The final draft of the Aged Care Rules is available online via the Department of Health and Aged Care: 🔗 View the final draft Rules