Key Takeaways
- The Liberal Party is experiencing internal conflicts, with Andrew Hastie and Angus Taylor vying for leadership, potentially splitting the conservative vote.
- The federal government and states are at odds over hospital funding, with the federal government capping growth at 6.5% per year and states arguing they cannot afford to pay more.
- The Thriving Kids program, aimed at children with mild-to-moderate developmental delays and autism, is expected to be delayed due to disagreements over funding.
- The Australian government is monitoring the Nipah virus outbreak in India, but has no intention to change entry protocols at the border.
- The national cabinet is meeting to negotiate a new five-year public hospital funding agreement, with a sense of urgency due to the upcoming South Australian state election.
Introduction to the Liberal Party Leadership
The Liberal Party is currently experiencing internal conflicts, with two aspirants, Andrew Hastie and Angus Taylor, vying for leadership. The meeting between the two right-wingers was well-publicized, and it is clear that they are both interested in running against current leader Sussan Ley. However, they cannot afford to split the conservative vote, which their tilts would rely on. This situation has prompted Liberal senator Maria Kovacic to call on those driving speculation about the leadership to "reflect" on what voters expect of the opposition.
Hospital Funding Debate
The debate over hospital funding is a contentious issue, with the federal government and states at odds over who should pay for what. The federal government has capped growth at 6.5% per year, while the states argue that they cannot afford to pay more. State health ministers are warning that they cannot pay more, citing the fact that many things that are putting pressure on the system, such as aged care, are actually the responsibility of the federal government. The cost to run hospitals is growing quickly due to an aging population, more pressure on emergency departments, and recent inflation.
Thriving Kids Program
The Thriving Kids program, aimed at children with mild-to-moderate developmental delays and autism, is expected to be delayed due to disagreements over funding. The program was announced last August, and the states have agreed in-principle to jointly fund it. However, the finer details are yet to be designed, and a formal deal remains unsigned. The money needed to kickstart the next phase of the design is tied up in the public hospital deal, which is a separate deal that Health Minister Mark Butler is trying to broker with the states.
Nipah Virus Outbreak
The Australian government is monitoring the Nipah virus outbreak in India, but has no intention to change entry protocols at the border. The virus is considered "very rare" but also "very deadly," and Indian authorities appear to have the outbreak under control. The government is monitoring the virus closely on a daily basis and has put advice on the Centre for Disease Control website.
National Cabinet Meeting
The national cabinet is meeting to negotiate a new five-year public hospital funding agreement. The meeting is considered crunch time for the Commonwealth, which is hustling to get a new agreement over the line. The states rejected the Commonwealth’s previous offer of an extra $21 billion over five years, with an additional $2 billion over four years to deal with the problem of aged care patients languishing in public hospital beds. With the South Australian government in caretaker mode from February 21 ahead of a state election, there is a sense of urgency to get the deal over the line as soon as possible.
Aged Care Assessment Wait Times
The Productivity Commission has reported that the median time to receive an aged care assessment increased by 22.7% in the year to 2025. The time between assessment approval and service commencement more than doubled, going from 118 days in 2023-24 to 245 days in 2024-25. The government’s reforms, which commenced in November, are aimed at bringing wait times down. However, the aged care system is still facing significant challenges, including a growth in demand due to the aging population.
Leadership Speculation
The Liberal Party’s leadership speculation is ongoing, with some calling on those driving speculation to "reflect" on what voters expect of the opposition. Liberal senator Maria Kovacic has stated that the party needs to focus on serving the community, rather than engaging in internal conflicts. The meeting between Andrew Hastie and Angus Taylor has been described as "not edifying" by Liberal senator Jane Hume, who has also stated that there is no challenge to Sussan Ley’s leadership.
