National Efficient Cost Determination 2026–27
Date published: 11 March 2026
The national efficient cost (NEC) determines payments for services that are block-funded.
The NEC is based on an extensive program of research, consultation and analysis of the cost and patterns of health service delivery over time.
Key updates for 2026–27
NEC26 includes a fixed cost of $3.127m and variable cost of $8,003. A total of 364 small rural hospitals will receive a combination of fixed and variable funding, reflecting their location, size and range of services. Hospitals in very remote locations will receive an additional loading of 18.1%.
Transitional block funding eligibility criteria for community mental health services, introduced last year, will continue in 2026–27.