Hospitals 23 May 2023

2023/24 Budget delivers $659 million infrastructure boost

The Victorian Budget 2023/24 is investing $659 million for health, mental health and aged care infrastructure projects across the state.

New and improved hospitals

This year’s State Budget provides $320 million through the Hospital Infrastructure Delivery Fund to plan the delivery of major investment at seven hospitals, including:

  • a new hospital and public sector residential aged care facility for West Gippsland
  • a bigger and better Monash Medical Centre with more operating theatres and a new intensive care unit
  • an expanded emergency department, new intensive care unit and new outpatient clinic at Dandenong Hospital
  • a new emergency department and inpatient tower at Northern Hospital
  • an expanded emergency department and upgraded short stay unit at Austin Hospital
  • a new emergency department and inpatient towers at Queen Elizabeth II Hospital in Melbourne’s growing eastern suburbs
  • extra beds, a new birthing complex and new outpatient clinic for Wonthaggi Hospital.

These projects will help boost capacity, improve infrastructure and ensure Victorians continue to receive high quality health care, closer to home.

Specialist equipment and emergency care

More than $114 million will deliver critical health infrastructure, including:

  • $40 million towards the Metropolitan Health Infrastructure Fund providing grants to upgrade essential equipment and renew, reconfigure and refurbish metropolitan health services’ infrastructure
  • $44 million for eight more PET Scanners across Victoria
  • $30.4 million for a new ambulance station at Armstrong Creek, including land acquisition.

Boosting public sector residential aged care

A $162.2 million package will provide better aged care services for regional Victorians, delivering three new public sector residential aged care facilities that are modern, dementia‑friendly and support residents with complex care needs:

  • $38.2 million for a 24-bed co located facility at Cohuna District Hospital
  • $69.7 million for a 30-bed facility at Maffra District Hospital campus
  • $54.3 million for a 36-bed facility at Numurkah Hospital campus.

Upgrading mental health facilities

To continue implementation of key recommendations from the Royal Commission into Mental Health, more than $63 million will provide:

  • $53 million for planning and development, including detailed design for Stage 3 of the Thomas Embling Hospital redevelopment
  • $10 million to upgrade infrastructure across a range of health services so they can keep delivering the services Victorians need most in their local communities.
Illustration of community members engaging with a VHBA project

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Last updated: 23 May 2023