The Australian Nursing and Midwifery Federation (ANMF) has welcomed prioritised funding in last night’s Budget for health and aged care, including $2.6 billion to fund pay rises for aged care nurses, $8.5 billion to strengthen Medicare, and a landmark $573 million women’s health package.

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“The Budget is full of good news for our members working on the frontline of health and aged care,” ANMF Federal Secretary Annie Butler said.

The ANMJ takes a look at the key wins for nurses, midwives and carers.

Aged care workers

In March, the Albanese Government announced a $2.6 billion investment to fund further pay rises for 60,000 aged care nurses across Australia, bringing its total outlay in support of award wage increases for aged care workers to $17.7 billion.

The win for aged care workers was secured through the ANMF’s historic Aged Care Work Value Case at the Fair Work Commission (FWC), which commenced in 2021. Last December, the FWC handed down its final determination for nurses working in aged care, establishing minimum award rates increases of between 4.25% and 25.5% across a new classification structure, on top of the initial 15% already granted, to take effect from March and be delivered over three tranches.

According to the government, since 2022, a registered nurse who was on level 2, pay point 3, will have seen their award-wage rate increase by about $430 per week, or more than $22,000 a year.

Last night’s budget revealed an additional $88.3 million will be spent on wage increases for aged care workers over five years from 2024-25 to fund the FWC’s decision. While $292 million will be spent over five years to continue delivering recommendations from the Aged Care Royal Commission.

“It will certainly help with our members’ everyday cost of living challenges and retain and recruit more nurses into the sector by offering better pay and working conditions, which in turn, will result in safer, higher quality care for older Australians,” ANMF Federal Secretary Annie Butler said.

Strengthening Medicare

The Government has committed $8.5 billion towards Medicare reforms in a bid to ease cost-of-living pressures.

This includes expanding GP bulk-billing incentive payments to all Australians from November, with the goal of 9 out of 10 GP visits being bulk-billed by 2030.

Nearly $650 million will also be spent on opening up an additional 50 free Medicare Urgent Care Clinics across the country on top of the 87 already up and running.

The 2025-26 Budget also includes a raft of measures to make medicines cheaper for Australians, with $689 million to reduce the cost of PBS-listed medicines, ensuring that no one pays more than $25 a script from January next year.

Earlier this year, the government also committed $1.7 billion in funding for public hospitals over the next financial year.

Women’s health

Women’s health has been a major focus of the government’s pre-election commitments.

The Budget includes a $573 million package to support women’s health, including the first new oral contraceptive pill to be listed on the PBS in over 30 years, as well as expanded support for women going through menopause.

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Other measures include contraceptive pill Slinda and endometriosis treatment Ryeqo to both be listed on the PBS from May. Over 100,000 women who would otherwise pay more than $250 for a year of treatment without subsidy, are expected to benefit.

Workforce

The Budget includes $10.5 million over two years from 2025-26 to expand the successful Primary Care Nursing and Midwifery Scholarship Program to deliver an additional 100 Graduate Certificate/Diploma scholarships and 100 Masters scholarships per year, to support registered nurses and midwives to become nurse practitioners and endorsed midwives.

The government is also investing $738 million to wipe student HECS-HELP debts by 20% in a one-off payment, saying that the measure will reduce over $5,000 from the average higher-education loan.

The federal government has also committed to delivering 100,000 permanent fee-free TAFE places every year from January 2027.

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Cost-of-living relief

The government’s 2025-26 Budget delivers a range of cost-of-living measures for Australians, including nurses and midwives.

This includes $4.5 million over four years to abolish the existing ‘activity test’ and ensure three days of subsidised care will be made available to families earning less than $533,000 each year.

The government also announced tax cuts for every Australian. From July 2026, the 16% tax rate will be reduced to 15%, and from July 2027, the 15% rate will drop to 14%. The government says the measure will put up to $268 a year back into taxpayers’ pockets.

Amid rising energy prices, the government will provide $1.8 billion over two years to extend energy bill rebates, delivering another $150 cut to eligible Australian households and small businesses.

Housing

The government will provide $58.8 million over five years to increase support for affordable housing, a key concern for nurses, midwives and carers.

This includes increasing the supply and adoption of prefabricated and modular housing construction, including supporting states and territories to scale up projects.

Further, $800 million will be spent on expanding the Help to Buy scheme, legislated last year, to allow more Australians to access the scheme.

“With cost of living and housing affordability identified by ANMF members as their big concerns, it’s encouraging that we have measures aimed at putting downward pressure on prices,” Ms Butler said.

“Nurses and midwives will benefit from improved childcare subsidies, increased public school funding, quarterly energy rebates and the extension of the ‘Help to Buy’ scheme, making it more accessible for nurses and midwives looking to buy their first home, as part of the Government co-ownership offer.”

As the country heads to the election in May, Ms Butler said the ANMF looked forward to working with the government to deliver on the Budget investments and build a stronger and more sustainable health and aged care workforce that can improve care.