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Market Trends - Digitalisation, Decentralisation and Democratisation of Healthcare in Australia

  • May 2015
  • -
  • Frost & Sullivan
  • -
  • 11 pages

Summary

Table of Contents

Scope

Frost & Sullivan presented the 2015 Australia Healthcare Outlook at a live event in Sydney in March. This document compiles key trends and opinions presented at the event with supporting data and figures. 2015 predictions in the areas of healthcare financing, aged care, primary care, and emerging technologies have been detailed here.

Onus to shift to consumers for healthcare spending as an aging population, chronic diseases and healthcare expenses grow

While Government spending will focus on development of public healthcare infrastructure, adoption and implementation of technology and chronic and infectious diseases control and treatment, private healthcare spending is expected to see consistent growth to 2020 with out-of-pocket spending expected to rise at more than 8% each year”, said Bhuller.

State and territory government funding for hospitals has increased by 78.6% over the last 10 years while non-government expenditure on hospitals increased by 88.6%. In 2013, Australia had about 1,355 hospitals, and this is expected to grow largely through more public-private partnerships; such as the Bendigo Hospital and HP with the Royal Adelaide Hospital.

In 2014, 68% of healthcare funding was by the government, whilst 33% was non government spending. $26.3 million was out-of-pocket, $11.8 million by private insurance and $8.5 million from others. Over 2012 and 2013, out-of-pocket spending in Australia grew 8.2% and non-government spending increased 10%. Year-on-year growth in both these areas was more than government spending, indicating the increasing contribution from individuals in healthcare payments.

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