Victorian Budget invests $1.87 billion in health, mental health and aged care infrastructure upgrades

$1.22 billion for health infrastructure

This year’s State Budget is investing $1.22 billion to upgrade and expand Victoria’s public health services and build new facilities.

This funding includes:

$678 million to upgrade and redevelop existing health services

Budget funding of $678 million is being invested in upgrading and redeveloping existing health services in metropolitan Melbourne and regional Victoria, including:

• $384.2 million to redevelop Warrnambool Hospital
• $180 million for a Guaranteeing Future Energy Supply Fund 
• $66 million to begin purchasing land and commence design development for the Community Hospitals Program
• $7.6 million to refurbish and expand maternity accommodation and critical infrastructure at Wangaratta Hospital.
   

$98.5 million to commence planning new hospitals

The State Budget will also provide $98.5 million to kickstart the planning of new projects, including:

• $75 million for the new Melton Hospital to secure a site and progress critical capital planning work
• $10 million to plan for the redevelopment of the Royal Melbourne Hospital at Parkville’s Melbourne Biomedical Precinct, as well as an additional site for the Royal Melbourne and Royal Women’s hospitals at the Arden Precinct
• $5.2 million to start planning expansion of Maryborough Hospital
• $4.75 million to undertake service and capital planning for the future expansion of Werribee Mercy Hospital
• $3.6 million to start planning for a new women’s and children’s wing at University Hospital in Geelong.
   

$440 million in grants for infrastructure, equipment and upgrades

Budget funding also includes more than $440 million in grants to assist health services replace critical infrastructure, invest in new equipment, undertake vital upgrades and install solar power, including:

• $200 million for a new Metropolitan Health Infrastructure Fund
• $120 million additional funding for the Regional Health Infrastructure Fund
• $50 million investment in the Engineering Infrastructure Replacement Program
• $40 million to improve energy efficiency in public hospitals through solar and LED upgrades
• $35 million investment in the Medical Equipment Replacement Program.
   

More funding for mental healthcare

This year’s State Budget is also investing $512 million to provide greater access to community and hospital-based mental health treatment and support, including:

• $492 million to deliver 144 new acute public mental health beds to address urgent capacity in Victorian public hospitals
• an additional $20 million will also be invested in the Mental Health and Alcohol and Other Drug Facilities Renewal Fund to support the delivery of mental health and alcohol and other drug services across the state.
   

Modernising public sector residential aged care

Budget funding also includes more than $135 million to modernise and upgrade public residential aged care services, providing older and vulnerable Victorians the care they deserve, including:

• $134.6 million to commence planning the redevelopment of Kingston Centre aged care in Melbourne’s south-east, which will include a brand-new 150-bed residential aged care facility
• $900,000 for the first phase of designing and planning a new 90-bed residential aged care facility in Coburg in Melbourne’s northern suburbs.