{"id":258490,"date":"2025-11-02T23:00:17","date_gmt":"2025-11-02T23:00:17","guid":{"rendered":"https:\/\/www.newsbeep.com\/au\/258490\/"},"modified":"2025-11-02T23:00:17","modified_gmt":"2025-11-02T23:00:17","slug":"funding-health-is-one-of-the-biggest-challenges-facing-tasmania-as-eric-abetz-prepares-to-hand-down-his-first-budget","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/au\/258490\/","title":{"rendered":"Funding health is one of the biggest challenges facing Tasmania, as Eric Abetz prepares to hand down his first budget"},"content":{"rendered":"<p class=\"paragraph_paragraph__iYReA\">With an interim state budget to be handed down on Thursday, a peak health body fears Tasmania&#8217;s public health system won&#8217;t receive enough support to address ballooning demand.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">Government policies to rein in spending \u2014 such as staff vacancy controls and efficiency measures \u2014 are already affecting service delivery, according to the Australian Medical Association (AMA).<\/p>\n<p class=\"paragraph_paragraph__iYReA\">AMA Tasmania president Dr Michael Lumsden-Steel said staff were &#8220;delaying decisions about anything that might cost money&#8221;.<\/p>\n<p><img decoding=\"async\" alt=\"AMA Tasmanian Branch President Dr Michael Lumsden-Steel 2025-11-02 11:11:00\" class=\"Image_image__5tFYM ContentImage_image__DQ_cq\"  src=\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2025\/11\/624d6b44246285e4ee55fac67604dfe7\" 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 says long-term solutions are needed. (ABC News: Kate Nickels)<\/p>\n<p class=\"paragraph_paragraph__iYReA\">While Dr Lumsden-Steel said this budget was &#8220;critical&#8221; for health, he had little hope of it having anything other than short-term supports \u2014 or it may even introduce cuts \u2014 after Treasurer Eric Abetz foreshadowed <a class=\"Link_link__kR0xA Link_link__5eL5m ScreenReaderOnly_srLinkHint__OysWz Link_showVisited__C1Fea Link_showFocus__ALyv2\" href=\"https:\/\/www.abc.net.au\/news\/2025-10-26\/community-organisations-fear-abetz-budget-repair-hit\/105933656\" data-component=\"Link\" data-uri=\"coremedia:\/\/article\/105933656\" rel=\"nofollow noopener\" target=\"_blank\">a focus on reducing spending.<\/a><\/p>\n<p class=\"paragraph_paragraph__iYReA\">Dr Lumsden-Steel said funding problems were not unique to Tasmania&#8217;s health system.<\/p>\n<p>&#8220;We&#8217;ve got each state with massive budget problems, we&#8217;re seeing each state having massive health budget and healthcare delivery problems,&#8221;  he said.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">&#8220;We can&#8217;t do it with the resources we&#8217;ve got at the moment.&#8221;<\/p>\n<p><img decoding=\"async\" alt=\"A photo of Royal Hobart Hospital's K Block ward framed against a dark and cloudy sky. \" class=\"Image_image__5tFYM ContentImage_image__DQ_cq\"  src=\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2025\/11\/0a2b8611e0c2bb3517506562c25341c5\" 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 AMA says a &#8220;command and control structure&#8221; is running health care in Tasmania. (ABC News: Luke Bowden)<\/p>\n<p>Health budget blows out by $400m<\/p>\n<p class=\"paragraph_paragraph__iYReA\">Treasury&#8217;s Preliminary Outcomes Report in August showed a net operating balance of $1.2 billion in the 2024-25 financial year, with net debt reaching $5.04 billion.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">The main blowouts have been in the Health Department, with a $400 million overspend largely on staff, including locums.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">Mr Abetz said the report showed improvements &#8220;while continuing to face fiscal challenges&#8221;.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">&#8220;A comprehensive program of works, including with the <a class=\"Link_link__kR0xA Link_link__5eL5m ScreenReaderOnly_srLinkHint__OysWz Link_showVisited__C1Fea Link_showFocus__ALyv2\" href=\"https:\/\/www.abc.net.au\/news\/2025-03-05\/tasmania-efficiency-and-productivity-unit-doge-criticised\/105014922\" data-component=\"Link\" data-uri=\"coremedia:\/\/article\/105014922\" rel=\"nofollow noopener\" target=\"_blank\">Efficiency and Productivity Unit,<\/a> will support our responsible, considered and measured management of every single taxpayer dollar,&#8221; Mr Abetz said when releasing the report.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">Treasury&#8217;s Pre-election Financial Outlook, released in June, warned that Tasmania&#8217;s debt was headed for $13 billion by 2027-28, and called for &#8220;immediate and sustained&#8221; corrective action.<\/p>\n<p><img decoding=\"async\" alt=\"Sarah Lovell, Labor member for Rumney 2025-06-19 10:06:00\" class=\"Image_image__5tFYM ContentImage_image__DQ_cq\"  src=\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2025\/11\/2c750786d16439396f6051e4e639115b\" 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\">Sarah Lovell says the government needs to &#8220;spend their money better&#8221;. (ABC News: Owain Stia James)<\/p>\n<p class=\"paragraph_paragraph__iYReA\">Labor&#8217;s health spokesperson, Sarah Lovell, said the government needed to look at the best way to spend the health budget.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">&#8220;It doesn&#8217;t mean they need to necessarily spend more in health, but they need to spend their money better. We need to be delivering better outcomes,&#8221; Ms Lovell said.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">Dr Lumsden-Steel said he wanted to see long-term solutions and a more strategic budget that considered hospitals&#8217; demand.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">&#8220;When the health department gets a budget, that budget is not based on what the health department needs, it&#8217;s purely based on what the government can afford,&#8221; Dr Lumsden-Steel said.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">&#8220;What we&#8217;re seeing at the moment is a command and control structure that is running health care.<\/p>\n<p>&#8220;We&#8217;re seeing [government] departments running hospitals, not hospitals running hospitals with the support of [government] departments.&#8221;Health minister says more federal funding needed<\/p>\n<p class=\"paragraph_paragraph__iYReA\">Three months into her role as health minister, Bridget Archer is under pressure to address long ambulance wait times and a growing elective surgery waitlist, which is currently at 9,275 \u2014 a 14 per cent increase in the past 12 months.<\/p>\n<p><img decoding=\"async\" alt=\"A woman sits in a green chair\" class=\"Image_image__5tFYM ContentImage_image__DQ_cq\"  src=\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2025\/11\/cb096a83e9f74dc0d851f1c1b1b6c2c4\" 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\">Bridget Archer has called on the federal government to provide more funding for Tasmania&#8217;s hospitals. (ABC News: Ebony ten Broeke)<\/p>\n<p class=\"paragraph_paragraph__iYReA\">A wage dispute with public sector unions, including the Health and Community Services Union, <a class=\"Link_link__5eL5m ScreenReaderOnly_srLinkHint__OysWz Link_showVisited__C1Fea Link_showFocus__ALyv2\" href=\"https:\/\/Content ID: 105950894\" data-component=\"Link\">is also heating up<\/a>.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">Ms Archer has called on the federal government to do more, saying Tasmania would be more than $670 million worse off under <a class=\"Link_link__kR0xA Link_link__5eL5m ScreenReaderOnly_srLinkHint__OysWz Link_showVisited__C1Fea Link_showFocus__ALyv2\" href=\"https:\/\/www.abc.net.au\/news\/2025-10-01\/states-shoot-down-commonwealth-hospital-funding-offer\/105839904\" data-component=\"Link\" data-uri=\"coremedia:\/\/article\/105839904\" rel=\"nofollow noopener\" target=\"_blank\">a proposed public hospital agreement with the states.<\/a><\/p>\n<p class=\"paragraph_paragraph__iYReA\">&#8220;The federal government is asking Tasmania, and asking all of the states, to reduce their health demand, but they are not providing us with the resources that we need, or the tools that we need, to reduce the demand in the first place,&#8221; Ms Archer said.<\/p>\n<p class=\"paragraph_paragraph__iYReA\">The federal government, which has recently brought in <a class=\"Link_link__kR0xA Link_link__5eL5m ScreenReaderOnly_srLinkHint__OysWz Link_showVisited__C1Fea Link_showFocus__ALyv2\" href=\"https:\/\/www.abc.net.au\/news\/2025-10-31\/bulk-billing-changes-medicare-gp-incentives\/105953126\" data-component=\"Link\" data-uri=\"coremedia:\/\/article\/105953126\" rel=\"nofollow noopener\" target=\"_blank\">bulk-billing incentives,<\/a> said it was already providing the state government more than enough.<\/p>\n","protected":false},"excerpt":{"rendered":"With an interim state budget to be handed down on Thursday, a peak health body fears Tasmania&#8217;s public&hellip;\n","protected":false},"author":2,"featured_media":258491,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[34],"tags":[64,63,10950,1480,62394,42421,137,500,4082,152231,152230,91754,47388,152229,2801],"class_list":["post-258490","post","type-post","status-publish","format-standard","has-post-thumbnail","category-healthcare","tag-au","tag-australia","tag-bridget-archer","tag-budget","tag-elective-surgery","tag-eric-abetz","tag-health","tag-healthcare","tag-hospital","tag-launceston-general-hospital","tag-mini-budget","tag-north-west-regional-hospital","tag-royal-hobart-hospital","tag-sarah-lovell","tag-tasmania"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/258490","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=258490"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/258490\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media\/258491"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media?parent=258490"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/categories?post=258490"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/tags?post=258490"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}