The Federal Government has officially deferred the commencement of the new Aged Care Act from 1 July, 2025 to 1 November, 2025. This short delay is intended to provide additional time for aged care providers, workers and older Australians to prepare for the transition. In this article, we outline what the deferral means, the key reasons behind it and what providers should be doing now to stay on track and get ready.

Why has the start date changed?

The decision, announced by the Minister for Aged Care and Seniors and Minister for Health and Ageing, reflects the feedback received from across the aged care sector. Their decision was reached after close consultation with older Australians, their families, carers, aged care workers, providers and the broader aged care industry, many of whom expressed concerns about readiness for the original July deadline.

In response, the Government has extended the implementation date to 1 November 2025. This additional time is designed to:

• Support providers to prepare their staff, systems and governance structures for the new regulatory environment
• Finalise key operational and digital processes needed to support the new framework
• Allow time to develop and distribute guidance materials, policy documents and organise training for staff
• Help older Australians better understand upcoming changes, especially in home care services

The extra time also enables the government to finalise the consultation process around the Aged Care Rules 2025, which is still ongoing, and to allow for completing the necessary legislative instruments to finalise the rules and ensure the effective operation of the new Act.

What does this mean for providers?

While the new start date gives providers some breathing room, it should not delay or reduce their preparation efforts. The deferral offers a valuable opportunity to strengthen readiness in the following areas:

• Workforce preparation: train staff on the upcoming changes, particularly in relation to new compliance expectations, service agreements and care planning
• Client communication: begin or continue conversations with older people and their families about how the reforms may affect the services they receive, including pricing and non-clinical support options
• Systems and processes: use the extra time to test and refine systems that will support compliance with the new Act, including digital reporting, data collection and internal quality assurance processes
• Strategic planning: revisit project timelines to ensure all operational changes required under the new Act, especially those related to governance, financial management and service delivery, are implemented in a structured and sustainable way.

What support will be available?

The Government has committed to working closely with the sector in the lead-up to 1 November 2025. This will include:

• Implementation guidance to assist with interpreting the new legislative and regulatory requirements
• Sector-specific training resources for workers and leadership teams
• Communication tools for providers to use when engaging with older Australians and their families
• Continued engagement with providers through consultations, briefings, and technical support
  
  

Conclusion

The short deferral of the Aged Care Act commencement date provides a timely opportunity for providers to ensure they are fully prepared for this significant reform. Rather than slowing down, providers should view this period as a strategic window to fine-tune systems, support staff and strengthen communication with older Australians. By remaining proactive, the sector can enter this new era of aged care regulation with confidence and clarity.

 

Nick Edwards

Nick is a Legal Content Senior Associate at Ideagen CompliSpace. Nick has several years' experience designing and administering eLearning for the aged care sector and holds a Bachelor of Laws from the University of Technology Sydney with First Class Honours.

 

 

Nicole Chen

Nicole is a Principal Consultant at Ideagen CompliSpace with a background in the healthcare industry across acute, aged, and community services. Throughout her career, she has held various management and clinical positions, contributing significantly to both research and higher education within the sector. Nicole provides valuable knowledge and insights from both a clinical perspective and a nuanced understanding of the operational and strategic aspects of healthcare. She holds a Doctor of Philosophy (PhD), a Postgraduate Certificate and a Bachelor in Nursing.