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New Aged Care Act and provider readiness: priority actions to get your service ready

23/07/25
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To support the delayed commencement of the new Aged Care Act from 1 November, 2025, the Department of Health, Disability and Ageing has released an updated guide to provider readiness, outlining practical actions to take both before the commencement and after the Act comes into effect. This article will provide a brief summary of what the changes mean for providers and what steps they can start to take on an organisational and operational level to put them into effect.

 

A recap of the new Act and what's new for providers

The upcoming implementation of the new Act on 1 November, 2025 marks a significant shift in the aged care landscape in Australia. This legislation introduces a rights-based framework that places older people at the centre of care, supported by a formal Statement of Rights and Statement of Principles. The intention is to create a more person-centred, respectful and accountable aged care system. As such, providers will need to align their operations, policies and service delivery with these foundational principles. In addition to this, a new regulatory model will also come into effect, including a deeming process that automatically transitions providers into new registration categories based on their current services. This model introduces clearer expectations, enhanced compliance mechanisms and a stronger focus on quality and safety.

 

Organisational readiness

Organisations should begin by ensuring their administrative and governance structures are aligned with the new requirements. This includes verifying and updating provider information in the Government Provider Management System (GPMS) and the Aged Care Gateway Service and Support Portal. Providers should review the provider registration preview to confirm their categorisation under the new regulatory model and address any discrepancies. These updates are essential to ensure accurate registration under the new Act and uninterrupted funding for those in your care.

Beyond administrative updates, providers must undertake a comprehensive review of internal systems and policies. This includes aligning business processes, training programs and ICT systems with the new Statement of Rights and Principles. Organisations are also expected to implement robust complaints and whistleblower systems, prepare for new financial and prudential standards and complete readiness checklists provided by the Aged Care Quality and Safety Commission (ACQSC). These steps are critical to ensuring compliance and maintaining service quality under the new Act. In preparation for the commencement of the Aged Care Act 2024 on 1 November, 2025, Ideagen CompliSpace has completed a comprehensive review and alignment of our policy suite to ensure that our clients are in full compliance with the new legislative requirements. Our updated policies are now available on PolicyConnect and are designed to support aged care providers in meeting their obligations with confidence and ease.

 

Service level readiness

At the service delivery level, providers must ensure that their procedures and processes are ready to operate under the new framework. Residential care providers should update accommodation agreements to reflect new rules around refundable accommodation deposits (RADs), daily accommodation payments (DAPs) and the introduction of the higher everyday living fee (HELF). They must also prepare to deliver services in accordance with the new aged care services list, which outlines mandatory care and support offerings.

Home care providers transitioning to the Support at Home program must revise service agreements and care plans, ensuring they reflect the new funding and care delivery models. Providers should use the Support at Home Program Manual and Transition Guide to guide this process. Commonwealth Home Support Programme (CHSP) providers must ensure all individuals are assessed and registered with My Aged Care before 1 November to remain eligible for services. Additionally, all providers must be ready to update their service and outlet information in the Aged Care Gateway Portal to ensure accurate public listings and referral management.


Preparing your workforce

The success of these reforms depends heavily on a well-informed and well-prepared workforce. Providers must ensure that all staff, including volunteers, are aware of the upcoming changes and understand their roles within the new system. This includes re-familiarising them with the Aged Care Code of Conduct and providing access to training resources such as the ACQSC’s online modules on the strengthened Quality Standards.

Training should be tailored to different staff roles, with specific modules for care managers, administrative staff and frontline workers. Providers are encouraged to use team meetings and internal communications to reinforce key messages and themes about the upcoming reforms and create opportunities for staff to ask questions and clarify how the changes will be implemented in your particular organisation. For CHSP and other providers, new worker screening requirements will also come into effect from 1 November, requiring updates to HR and compliance processes.

 

Embedding person-centred care

Central to the reforms is a renewed focus on person-centred care that respects the dignity, preferences and rights of older people. Providers must engage with individuals receiving care and services, to ensure they understand their rights under the new Act, including the option to appoint a registered supporter to assist with decision-making.

Care planning must be updated to reflect the new expectations around choice, independence and cultural safety. Providers should ensure that care plans are co-designed with older Australians and that services are delivered in a way that supports autonomy and wellbeing. Encouraging feedback and creating safe mechanisms for individuals to raise concerns reinforces transparency and supports a culture of continuous improvement.

 

Conclusion

The transition to the new Aged Care Act represents a pivotal moment for aged care providers, requiring a proactive and coordinated response across all levels of service delivery and the organisation. These reforms reflect a broader cultural shift toward a more respectful, transparent and person-centred aged care system. By taking early and deliberate action, providers can ensure they remain compliant and responsive to the needs of older Australians, while also using the new regulatory framework as a springboard for continuous improvement and service excellence.

 

About the Authors
 
Webinar Presenter Headshot - Nick Edwards

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 Headshot Pink Circle

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.
 

 

Nadia Kamal

Nadia Kamal

Nadia is a Senior Legal Content Operations Associate at Ideagen CompliSpace. She has several years’ experience working as an advocate and solicitor, as well as serving in in-house counsel roles. She holds a Bachelor of Laws (LLB Hons.) and a Master of Laws (LLM).
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