Aged Care Essentials | Aged Care reform essentials: key focus areas for aged care providers

The new rights based Aged Care Act takes effect on 1 November, 2025, along with the Support at Home program. Providers must align governance, processes and culture with the core reforms; stronger provider governance, person centred care, the new Statement of Rights and Statement of Principles, risk-based approaches and the Strengthened Aged Care Quality Standards.

From 1 November, 2025, aged care providers will enter a new era of accountability, transparency and person-centred care. The new Aged Care Act, together with the Strengthened Aged Care Quality Standards, introduces clear requirements around provider governance, consumer rights, risk management and service delivery.

Whether you’re updating systems, supporting your workforce or engaging with older people, the success of your reform preparation depends on how well you embed five key reform themes:

1. Provider governance
2. The new Statement of Rights and Statement of Principles
3. Risk management
4. Strengthened Quality Standards
5. Person-centred care

Here’s what you need to know and what to prioritise.

Provider registration categories

The new Aged Care Act introduces a single provider registration system for all government-funded aged care services. Providers will be registered in one or more of six categories, based on the type and complexity of care and services delivered. These categories determine which of the Strengthened Quality Standards apply under the new regulatory model.

If you have delivered aged care services in the 12 months before the Act commences, you will be automatically transitioned (deemed) into the relevant category, no reapplication needed.

What to do now

Existing providers:

• There is no need to reapply, provided that you have been active in the last 12 months to be deemed
• Keep your contact and service delivery information up to date in the Government Provider Management System (GPMS) and the Aged Care Gateway Service and Support Portal
• Monitor the Aged Care Quality and Safety Commission (ACQSC) website for your category confirmation, obligations and renewal timeframe 
  
  

New providers:

• Apply for registration under the current Aged Care Act 1997 if you plan to deliver services before 1 November 2025
• If your application is not finalised before 1 November, 2025, it will automatically be treated as an application under the new Act

Commonwealth Home Support Program (CHSP) grant recipients for 2025-27 will be deemed as registered. Subcontractors will not be automatically registered and must apply separately. For more information, please refer to the Department of Health, Disability and Ageing’s website.

Provider governance: systems, reporting and financial accountability

The new regulatory framework demands stronger provider governance at every level, from board oversight to frontline operations.

Key changes include:

• Clearer lines of accountability across governing bodies and executives
• Mandatory financial reporting under the new Financial and Prudential Standards
• Documented policies and processes that reflect current legislation and best practice
• Upgraded information systems to support real-time reporting, data security and service visibility

What to do now

• Review and revise your governance framework, including board charters and committee structures
• Ensure financial and incident reporting systems align with the Commission’s expectations
• Use the Provider Operational Readiness Priority Actions List to identify gaps in systems and oversight
• Confirm your registration category and obligations in the Government Provider Management System (GPMS)

Embedding the Statement of Rights and Statement of Principles

For the first time, the Statement of Rights will have legal weight under the Aged Care Act. This sets out 14 enforceable rights that must be understood, respected and reflected in service delivery. The companion Statement of Principles outlines how aged care should be delivered and governed.

This is not just a compliance requirement; it’s a cultural shift. Older people must be able to understand their rights and see them in action.

What to do now

• Provide copies of the Statement of Rights to residents, clients, families and staff
• Update onboarding materials, agreements and complaints processes to reflect the new rights
• Train staff in trauma-informed communication and supported decision-making
• Use practical tools like conversation cards, translated resources and rights-based case studies

Strengthening risk management systems

The strengthened Standards introduce a proactive, transparent and systemic approach to risk. This includes identifying risks to the rights, safety and wellbeing of older people, not just operational or financial risks.

What to do now

• Update your risk register to include rights-related and service delivery risks (e.g. cultural safety, digital access, social isolation)
• Review your incident management system to ensure it supports open disclosure and tracks recurring themes
• Involve staff, consumers and governing bodies in risk reviews
• Integrate risk findings into continuous improvement plans

Meeting the Strengthened Aged Care Quality Standards

The revised Strengthened Aged Care Quality Standards focus on outcomes, not just processes. The seven Standards cover everything from service delivery and food to clinical care and organisational governance.

Key updates include:

• Greater emphasis on outcomes and evidence
• Clearer expectations for governance and accountability
• Explicit focus on cultural safety and inclusive care

What to do now

• Familiarise your team with the Strengthened Standards
• Complete the Strengthened Standards Provider Checklist
• Use the Commission’s Quality Standards Resource Centre | Aged Care Quality and Safety Commission to prepare staff and managers
• Embed the Standards in care planning, audits and feedback systems

Person-centred care approach

Person-centred care is not new, but under the new framework, it becomes a non-negotiable foundation. Care plans must be co-designed with the older person, regularly reviewed and based on their identity, preferences and goals.

What to do now

• Audit a sample of care plans to ensure they reflect individual needs, not just service requirements
• Provide staff with examples of person-centred care across different roles (clinical, domestic, administrative)
• Involve older people in service planning and evaluation
• Address barriers to inclusion such as language, mobility, digital access or communication style

Conclusion

With the 1 November, 2025 reforms fast approaching, now is the time for providers to focus their efforts on core priorities. Strengthening governance, upholding rights, managing risk, meeting the revised Standards and embedding person-centred care are not just compliance tasks; they are essential to delivering safe, respectful and responsive aged care into the future.

To support your preparation, we’ve created a free  guide and 10 week checklist that can be used to guide you through the transition. Download yours today.