{"id":216035,"date":"2025-10-15T20:06:18","date_gmt":"2025-10-15T20:06:18","guid":{"rendered":"https:\/\/www.newsbeep.com\/au\/216035\/"},"modified":"2025-10-15T20:06:18","modified_gmt":"2025-10-15T20:06:18","slug":"calvary-health-care-questioned-over-launceston-private-hospitals-future-after-infrastructure-failure","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/au\/216035\/","title":{"rendered":"Calvary Health Care questioned over Launceston private hospital&#8217;s future after infrastructure failure"},"content":{"rendered":"<p class=\"paragraph_paragraph__iYReA\">A major infrastructure failure at a private hospital in Tasmania&#8217;s north has healthcare experts calling for assurances about its future.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">Calvary Health Care was <a class=\"Link_link__kR0xA Link_link__5eL5m ScreenReaderOnly_srLinkHint__OysWz Link_showVisited__C1Fea Link_showFocus__ALyv2\" href=\"https:\/\/www.abc.net.au\/news\/2025-09-30\/calvary-st-lukes-hospital-micro-tears-in-floor-launceston\/105832280\" data-component=\"Link\" data-uri=\"coremedia:\/\/article\/105832280\" rel=\"nofollow noopener\" target=\"_blank\">forced to close three operating theatres at Launceston&#8217;s St Luke&#8217;s hospital last month<\/a>, and divert patients to its nearby Calvary St Vincent\u2019s hospital, after rips were found in theatre flooring.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">No details have been provided on how long the repairs will take or how much they will cost.<\/p>\n<p><img decoding=\"async\" alt=\"Calvary St Lukes Hospital pictured from outside\" class=\"Image_image__5tFYM ContentImage_image__DQ_cq\"  src=\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2025\/10\/e3548d7aac04ca2c3a1c766fd5c264e9\" loading=\"lazy\" data-component=\"Image\" data-lazy=\"true\"\/><\/p>\n<p class=\"Typography_base__sj2RP FigureCaption_text__zDxQ5 Typography_sizeMobile12__w_FPC Typography_lineHeightMobile20___U7Vr Typography_regular__WeIG6 Typography_colourInherit__dfnUx\" data-component=\"Typography\">The Australian Medical Association believes repairs at St Luke&#8217;s could take months.\u00a0 (ABC News: Ashleigh Barraclough)<\/p>\n<p class=\"paragraph_paragraph__iYReA\">Australian Medical Association (AMA) Tasmanian branch president Michael Lumsden-Steel believed the figures could be significant.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">&#8220;The intelligence I&#8217;m hearing suggests those theatres are not able to be readily fixed and restored,&#8221; Dr Lumsden-Steel said.<\/p>\n<p>&#8220;We&#8217;re talking more than weeks to restore those theatres. It could be months.&#8221;<\/p>\n<p class=\"paragraph_paragraph__iYReA\">This week, Calvary introduced longer surgical days at St Vincent&#8217;s Hospital, and from this weekend will introduce Saturday theatre lists.<\/p>\n<p><a href=\"https:\/\/www.abc.net.au\/news\/2025-09-30\/calvary-st-lukes-hospital-micro-tears-in-floor-launceston\/105832280\" data-component=\"FullBleedLink\" class=\"RelatedCard_link__rsgR9 FullBleedLink_root__lTw_U interactive_focusContext__yRhc_ interactive_defaults__AKxUU FullBleedLink_showVisited__g3Xvz\" rel=\"nofollow noopener\" target=\"_blank\">Micro tears found in hospital floor<\/a><\/p>\n<p class=\"Typography_base__sj2RP RelatedCard_synopsis__cFwMW Typography_sizeMobile14__u7TGe Typography_lineHeightMobile20___U7Vr Typography_regular__WeIG6 Typography_colourInherit__dfnUx\" data-component=\"Typography\">The shutdown of Calvary St Luke&#8217;s Hospital will affect 40 planned surgeries this week, with 22 of those reallocated to nearby St Vincent&#8217;s Hospital.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">Dr Lumsden-Steel believed interim measures at St Luke&#8217;s were also being explored, such as setting up demountable operating theatres.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">He said the incident raised questions about Calvary&#8217;s long-term future in the region, given the potential cost of repairs.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">&#8220;They are not saying that they are walking away from it,&#8221; Dr Lumsden-Steel said.<\/p>\n<p>&#8220;But we do understand that when you&#8217;ve got aging infrastructure \u2026 it&#8217;s very expensive now to undergo significant maintenance and rebuilds.&#8221;Calvary posts years of deficit<\/p>\n<p class=\"paragraph_paragraph__iYReA\">Financial documents show Calvary Health Care, a non-profit that operates hospitals and aged care facilities across six Australian jurisdictions, has run at a loss since 2019.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">It reported deficits of $377 million in 2023 and $143 million in 2024.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">The company has not provided its 2025 financials or financial data for individual hospitals.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">Asked how it planned to fund repairs at St Luke&#8217;s, a spokesperson pointed to the group&#8217;s $123 million in non-drawn borrowings as of June 2024, and said the figure was expected to be slightly higher in 2025.<\/p>\n<p><img decoding=\"async\" alt=\"Calvary's St Vincent's Hospital exterior.\" class=\"Image_image__5tFYM ContentImage_image__DQ_cq\"  src=\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2025\/10\/58d295e6e9916d15dad07ce1de8da260\" loading=\"lazy\" data-component=\"Image\" data-lazy=\"true\"\/><\/p>\n<p class=\"Typography_base__sj2RP FigureCaption_text__zDxQ5 Typography_sizeMobile12__w_FPC Typography_lineHeightMobile20___U7Vr Typography_regular__WeIG6 Typography_colourInherit__dfnUx\" data-component=\"Typography\">Calvary St Vincent&#8217;s Hospital is about 1.5 kilometres from St Luke&#8217;s Hospital in Launceston.\u00a0 (ABC News: Ashleigh Barraclough)<\/p>\n<p class=\"paragraph_paragraph__iYReA\">Tasmania&#8217;s largest private health insurer, St Luke&#8217;s, said it had been asking questions of the company since last year, when Calvary Health Care<a class=\"Link_link__kR0xA Link_link__5eL5m ScreenReaderOnly_srLinkHint__OysWz Link_showVisited__C1Fea Link_showFocus__ALyv2\" href=\"https:\/\/www.abc.net.au\/news\/2024-02-18\/calvary-health-pulls-out-of-launceston-project\/103456794\" data-component=\"Link\" data-uri=\"coremedia:\/\/article\/103456794\" rel=\"nofollow noopener\" target=\"_blank\"> abandoned long-awaited plans to build a new private hospital in Launceston<\/a>.<\/p>\n<p>&#8220;The Launceston facility has been an issue over time and we&#8217;ve certainly had deep discussions with Calvary around the lack of the investment in that facility,&#8221;  St Luke&#8217;s chief executive Paul Lupo said.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">&#8220;[Calvary] assured us they were committed to the area and they would be investing further in those two campuses [St Luke&#8217;s and St Vincent&#8217;s hospitals].<\/p>\n<p class=\"paragraph_paragraph__iYReA\">&#8220;Considering this issue that&#8217;s just arisen, we&#8217;ll be going back again to Calvary.&#8221;<\/p>\n<p><img decoding=\"async\" alt=\"He has white hair and sits in a chair with plants behind\" class=\"Image_image__5tFYM ContentImage_image__DQ_cq\"  src=\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2025\/10\/7b91709683eefba45a9156d0e9dd5ea0\" loading=\"lazy\" data-component=\"Image\" data-lazy=\"true\"\/><\/p>\n<p class=\"Typography_base__sj2RP FigureCaption_text__zDxQ5 Typography_sizeMobile12__w_FPC Typography_lineHeightMobile20___U7Vr Typography_regular__WeIG6 Typography_colourInherit__dfnUx\" data-component=\"Typography\">Paul Lupo wants assurances about Calvary St Luke&#8217;s Hospital. (ABC News: Emily Smith)<\/p>\n<p class=\"paragraph_paragraph__iYReA\">A Calvary Health Care spokesperson said it remained committed to the Launceston region and was looking at options for the short and long term.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">But some want further assurances.<\/p>\n<p>&#8220;We want to see some action on the ground rather than just verbal commitments,&#8221;  Mr Lupo said.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">Dr Lumsden-Steel asked: &#8220;What is Calvary&#8217;s long-term strategic plan for continuing to provide these services in Launceston?&#8221;.<\/p>\n<p>Worries patients will ditch private health<\/p>\n<p class=\"paragraph_paragraph__iYReA\">There are early plans for two new private hospitals to be built in Launceston in the coming years.<\/p>\n<p><a href=\"https:\/\/www.abc.net.au\/news\/2025-10-02\/launceston-health-service-124-bed-private-public-hospital-plans\/105839626\" data-component=\"FullBleedLink\" class=\"RelatedCard_link__rsgR9 FullBleedLink_root__lTw_U interactive_focusContext__yRhc_ interactive_defaults__AKxUU FullBleedLink_showVisited__g3Xvz\" rel=\"nofollow noopener\" target=\"_blank\">New Launceston private hospital a step closer <\/a><\/p>\n<p class=\"Typography_base__sj2RP RelatedCard_synopsis__cFwMW Typography_sizeMobile14__u7TGe Typography_lineHeightMobile20___U7Vr Typography_regular__WeIG6 Typography_colourInherit__dfnUx\" data-component=\"Typography\">A plan that will enable a state-of-the-art medical facility with 10 operating theatres, a laboratory, pharmacy, helipad and a bridge to Launceston&#8217;s public hospital is unanimously supported by all Launceston councillors in a vote.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">The state government wants to partner with a private operator on a 250-bed complex, next to the Launceston General Hospital.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">The Launceston Health Hub has <a class=\"Link_link__kR0xA Link_link__5eL5m ScreenReaderOnly_srLinkHint__OysWz Link_showVisited__C1Fea Link_showFocus__ALyv2\" href=\"https:\/\/www.abc.net.au\/news\/2025-10-02\/launceston-health-service-124-bed-private-public-hospital-plans\/105839626\" data-component=\"Link\" data-uri=\"coremedia:\/\/article\/105839626\" rel=\"nofollow noopener\" target=\"_blank\">plans to build a new private hospital in Launceston<\/a> in two stages \u2014 the first with 20 beds and the second with more than 100 beds.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">Launceston Health Hub proponent Jerome Muir Wilson believed demand for the city&#8217;s existing private hospitals would remain once his hospital proposal eventuated.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">But he did not yet have enough detail about the state government&#8217;s proposal to gauge its potential impacts.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">Dr Muir Wilson worried that issues with Calvary could see locals ditch their private health insurance or that health workers would move away.<\/p>\n<p><img decoding=\"async\" alt=\"Dr Jerome Muir-Wilson is a general practitioner in Launceston, Tasmania.\" class=\"Image_image__5tFYM ContentImage_image__DQ_cq\"  src=\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2025\/10\/20dfe333466a01f2c9672085c9ea0d4c\" loading=\"lazy\" data-component=\"Image\" data-lazy=\"true\"\/><\/p>\n<p class=\"Typography_base__sj2RP FigureCaption_text__zDxQ5 Typography_sizeMobile12__w_FPC Typography_lineHeightMobile20___U7Vr Typography_regular__WeIG6 Typography_colourInherit__dfnUx\" data-component=\"Typography\">Dr Jerome Muir Wilson plans to build a new hospital in Launceston in two stages.\u00a0 (ABC Northern Tasmania: Fred Hooper)<\/p>\n<p class=\"paragraph_paragraph__iYReA\">He said if that happened, it would add pressure to an already-strained public system.<\/p>\n<p>&#8220;The public [system] is already full with big waiting lists, so if private patients suddenly become public there&#8217;ll be huge public and private wait lists,&#8221;  he said.Concerns over &#8216;sustainability&#8217; of private practice<\/p>\n<p class=\"paragraph_paragraph__iYReA\">Calvary Health Care was not alone in its challenges, with <a class=\"Link_link__kR0xA Link_link__5eL5m ScreenReaderOnly_srLinkHint__OysWz Link_showVisited__C1Fea Link_showFocus__ALyv2\" href=\"https:\/\/www.abc.net.au\/news\/2025-05-27\/healthscope-collapse-an-early-warning-sign-for-private-hospitals\/105339244\" data-component=\"Link\" data-uri=\"coremedia:\/\/article\/105339244\" rel=\"nofollow noopener\" target=\"_blank\">the collapse of Australia&#8217;s second-largest private hospital group<\/a> earlier this year raising questions about the sector.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">In 2023, Tasmania&#8217;s St Helen&#8217;s Private Hospital closed, while the future of<a class=\"Link_link__kR0xA Link_link__5eL5m ScreenReaderOnly_srLinkHint__OysWz Link_showVisited__C1Fea Link_showFocus__ALyv2\" href=\"https:\/\/www.abc.net.au\/news\/2025-10-14\/hobart-clinic-offered-funding-lifeline-government\/105871126\" data-component=\"Link\" data-uri=\"coremedia:\/\/article\/105871126\" rel=\"nofollow noopener\" target=\"_blank\"> private mental health provider The Hobart Clinic<\/a> remains uncertain.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">Dr Lumsden-Steel said questions should be asked of private health insurers, which he said continued to post record profits.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">&#8220;The real concern the AMA has been articulating, over the past 12 to 18 months in particular, is the sustainability of private hospitals,&#8221; he said.<\/p>\n<p>&#8220;And are they getting a fair fee for the service they provided from the health insurers?&#8221;<img decoding=\"async\" alt=\"Dr Michael Lumsden-Steel stands with hands clasped looking at the camera.\" class=\"Image_image__5tFYM ContentImage_image__DQ_cq\"  src=\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2025\/10\/90a272f6c2659699cba0c7415692541d\" loading=\"lazy\" data-component=\"Image\" data-lazy=\"true\"\/><\/p>\n<p class=\"Typography_base__sj2RP FigureCaption_text__zDxQ5 Typography_sizeMobile12__w_FPC Typography_lineHeightMobile20___U7Vr Typography_regular__WeIG6 Typography_colourInherit__dfnUx\" data-component=\"Typography\">Dr Michael Lumsden-Steel worries about the sustainability of the state&#8217;s private hospitals. (ABC News: Owain Stia-James)<\/p>\n<p class=\"paragraph_paragraph__iYReA\">Mr Lupo said St Luke&#8217;s implemented hospital contract negotiations as a way to meet some cost increases.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">Low occupancy at private hospitals added to the strain.<\/p>\n<p>&#8220;The difficulty we&#8217;ve got is, it doesn&#8217;t matter how much we pay private [hospitals]. If there&#8217;s no-one coming into it, you&#8217;re not going to get paid for it,&#8221;  he said.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">&#8220;It&#8217;s a difficult position and I think everyone needs to come to the party to understand how we can solve these issues of rising costs in private hospitals and a reduction in occupancy.&#8221;<\/p>\n<p><img decoding=\"async\" alt=\"The front foor of Calvary St Luke's Hospital in Launceston.\" class=\"Image_image__5tFYM ContentImage_image__DQ_cq\"  src=\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2025\/10\/6fa74b2173a8efbd4748848ad8409b6b\" loading=\"lazy\" data-component=\"Image\" data-lazy=\"true\"\/><\/p>\n<p class=\"Typography_base__sj2RP FigureCaption_text__zDxQ5 Typography_sizeMobile12__w_FPC Typography_lineHeightMobile20___U7Vr Typography_regular__WeIG6 Typography_colourInherit__dfnUx\" data-component=\"Typography\">The long term future of Calvary in the region has been questioned. (ABC News: Ashleigh Barraclough)<\/p>\n<p class=\"paragraph_paragraph__iYReA\">The federal government has set up a forum to investigate the sustainability of private hospitals, which is expected to report back by June 2026.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">Calvary Health Care&#8217;s Damien Bruce has been listed among the private hospital chief executives who will be consulted.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">Federal Assistant Health Minister Rebecca White said her government recognised the difficulties private hospital strains were creating.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">&#8220;Particularly on patients and staff in jurisdictions that are smaller, like Tasmania and the Northern Territory,&#8221; she said.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">&#8220;This is something we are actively working to see if we can solve.&#8221;<\/p>\n","protected":false},"excerpt":{"rendered":"A major infrastructure failure at a private hospital in Tasmania&#8217;s north has healthcare experts calling for assurances about&hellip;\n","protected":false},"author":2,"featured_media":216036,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[34],"tags":[64,63,35761,132104,132105,132106,4046,1999,137,500,12152,10557,112143,132107,132108,1369,8539,2801],"class_list":["post-216035","post","type-post","status-publish","format-standard","has-post-thumbnail","category-healthcare","tag-au","tag-australia","tag-calvary","tag-calvary-health-care","tag-calvarys-st-lukes","tag-calvarys-st-vincent","tag-doctors","tag-finances","tag-health","tag-healthcare","tag-launceston","tag-patients","tag-private-healthcare","tag-private-hospital","tag-st-luke","tag-surgery","tag-tas","tag-tasmania"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/216035","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/comments?post=216035"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/216035\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media\/216036"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media?parent=216035"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/categories?post=216035"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/tags?post=216035"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}