The aged care industry in Australia is facing scrutiny over its charging practices, with a particular focus on the Higher Everyday Living Fee (Helf). Helf, introduced to differentiate premium services from the mandatory standard of care, has been criticized for creating a 'two-tier' system where residents are pressured to purchase additional services. This issue is exacerbated by the fact that providers can choose the cost and type of inclusions, leading to concerns about reduced standards and the potential for unlawful charging.
The story of Dorothy and Jeff Gilling highlights the problem. Dorothy, suffering from advanced dementia, was charged a daily fee for Foxtel, outings, newspapers, and a choice of wines, despite being unable to use these services. Jeff, after discovering this, fought the aged care facility and managed to get almost $37,000 refunded. This case, and others like it, have led to a national regulator, the Aged Care Quality and Safety Commission, receiving 199 complaints about aged care fees in the first half of 2026, with several providers under investigation for allegedly illegal additional fees.
The commission's commissioner, Liz Hefren-Webb, acknowledges the concerns, stating that some providers have voluntarily reviewed and changed their practices. However, the issue of 'two-tier' care remains a significant concern. Dr Sarah Russell, from Aged Care Matters, warns that Helf has embedded additional service fees as the norm, creating a system where those who can afford the extra services have better access to entertainment, meals, and other amenities.
This situation raises important questions about the ethical and legal boundaries of charging in aged care facilities. It also highlights the need for better transparency and regulation to protect the rights of residents and their families. As the industry continues to evolve, it is crucial to ensure that the standard of care is not compromised by financial incentives, and that the well-being of older Australians remains the top priority.
