Introduction
The 2026-2027 AN-ACC rates were released at the start of September for funding from 1 October 2026.
We saw an increase to the AN-ACC Starting Price from $282.44 to $295.64 to $303.19. This is a 2.55% increase (compared to the 4.67% increase that was given last year). The increase intends to includes the funding support for:
- 4.75% Annual Wage Review decision by the Fair Work Commission for 2026
- Gender undervaluation case
- Aged care work value case
- Non-labour cost growth
The hotelling supplement currently remains unchanged.
The rate update has been widely reported as a ‘cut’ rather than an increase, with the 2.55% increase below the CPI at 3.5%.
You can view all rates of payments effective from 1 October 2026 in the Aged Care Subsidies and Supplements – Residential Care document.
AN-ACC Starting Price – From 1st October 2026
Initial Entry Adjustment - For New Permanent Residents
Residential Aged Care Subsidy: Variable Component (Permanent and Respite)
Residential Aged Care Subsidy: Fixed Component
What do these changes mean for you?
This has been a controversial round of indexation. Whilst there’s been an increase to the Starting Price, the increase is below CPI and additionally the recent aged care salary rises and current cost of living left the industry expecting a much higher rate rise. Since the announcement, more Providers are expected to continue to operate at a loss and several Providers have had to put development plans on hold, or suspend altogether.
If you have any questions, or would like more information on these changes, please reach out!
