IHACPA releases residential aged care pricing advice

2 September 2026

The Independent Health and Aged Care Pricing Authority (IHACPA) has released the Residential Aged Care Pricing Advice 2026–27.

The advice was developed after extensive public consultation and is directly informed by the costs of delivering residential aged care services as measured in various data sources, including the Aged Care Financial Report.

The pricing advice includes:

  • the recommended Australian National Aged Care Classification (AN-ACC) price from 1 October 2026 to 30 September 2027
  • the recommended price weights for each AN-ACC class, respite class and base care tariff category
  • the estimated gap between the costs of delivering everyday living services and related revenue received by residential care homes. 

IHACPA Chair, Mr David Tune AO PSM, said the advice is grounded in evidence and informed by engagement across the sector.

‘We are committed to ensuring that our pricing advice for residential aged care is transparent, evidence-based and reflects the costs of delivering quality care,’ Mr Tune said.

‘We are committed to ensuring that our pricing advice for residential aged care is transparent, evidence-based and reflects the costs of delivering quality care.'

‘The advice has been developed through extensive consultation and rigorous analysis, helping to support a sustainable aged care system and the delivery of safe, high-quality care for older Australians.’

In developing this advice, IHACPA accounted for recent Fair Work Commission decisions, superannuation guarantee increases, and the indexation of historical cost data.

The IHACPA pricing advice to the Australian Government helps inform funding decisions for residential aged care services.

The Minister for Health and Ageing is responsible for determining and announcing the annual AN-ACC price and price weights for each AN-ACC class and base care tariff category.

More information

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