ADIA is the peak business organisation representing manufacturers and suppliers of dental products. Our vision is for an industry that empowers oral health professionals to advance the health and wellbeing of all Australians...................... — ADIA Strategic Plan

2015 Budget — Dental care spending

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The 2015 Australian Government budget reviews a number of measures announced in previous budgets and has made cuts across most areas of government expenditure, including dental spending. In most cases the savings from this measure will be invested by the Government in the Medical Research Future Fund.


National partnership on adult dental patients —

The Commonwealth will provide funding for the National Partnership on adult public dental services to support the provision of dental services to adults who rely on the public dental system. The Commonwealth will consult with the states on future funding arrangements for the provision of dental services. Funding arrangements beyond 2015-16 are subject to negotiations with the states; however, the grant funding that has been allocated by the Australian Government to each state / territory in each financial year are set out in the table below.

NSW VIC QLD WA SA TAS ACT NT TOTAL
...2014-15
...2015-16 $49.9Mil $38.9Mil $30.3Mil $13.0Mil $12.5Mil $5.5Mil $2.4Mil $2.9Mil $155Mil
...2016-17 TBA TBA TBA TBA TBA TBA TBA TBA TBA
...2017-18 TBA TBA TBA TBA TBA TBA TBA TBA TBA
...2018-19 TBA TBA TBA TBA TBA TBA TBA TBA TBA


Child Dental Benefits Schedule —

The Child Dental Benefits Schedule commenced on 1 January 2014, and provides up to $1,000 in benefits, capped over two calendar years, for basic dental services for eligible children 2-17 years of age who meet a means test. The budget shows that some 2.4Million children are expected to access the scheme each year between FY2015-16 to FY2018-19.

The Government will achieve savings of $125.6 million over four years from 2015-16 by broadly aligning indexation arrangements for both the benefits payable and the benefits cap under the Child Dental Benefits Schedule with indexation arrangements for other health benefits programmes. The savings from this measure will be redirected by the Government to fund other health policy priorities or will be reinvested into the Medical Research Future Fund.

2014-15 2015-16 2016-17 2017-18 2018-19
...Department of Health -$14.9Mil -$25.3Mil -$37.6Mil -$47.7Mil
...Total — Expense -$14.9Mil -$25.3Mil -$37.6Mil -$47.5Mil

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Rationalising and streamlining Health programmes —

The Government will achieve savings of $962.8 million over five years from 2014-15 by rationalising and streamlining funding across a range of Health programmes, including: Dental workforce programmes, including by redesigning incentives in the Dental Relocation and Infrastructure Support Scheme to encourage dentists to relocate to smaller rural centres; the Health Portfolio Flexible Funds; Preventative health research; GP Super Clinics which have not yet commenced construction; Ceasing the Inborn Error of Metabolism programme, as key medicines are now listed on the Pharmaceutical Benefits Scheme and low protein foods are now much more readily available at lower cost; and by piloting competitive tendering for a subset of products in the Stoma Appliance Scheme. The savings from this measure will be redirected by the Government to fund other Health policy priorities or will be reinvested into the Medical Research Future Fund.

2014-15 2015-16 2016-17 2017-18 2018-19
...Department of Health -$12.0Mil -$121.5Mil -$215.7Mil -$276.3Mil -$337.2Mil
...Total — Expense -$12.0Mil -$121.5Mil -$215.7Mil -$276.3Mil -$337.2Mil

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Dental and Allied Health Provider Fees (Continuation of the indexation pause) —

The Government will achieve savings of $69.6 million over four years by extending the pause on indexation of Department of Veterans' Affairs dental and allied health provider payments until 1 July 2018. This measure extends the 2014-15 Budget measure titled Dental and Allied Health Provider Fees — defer and align indexation. The Department of Veterans' Affairs will undertake a review of dental and allied health services arrangements specific to the veteran community to complement the broader review of the Medicare Benefits Schedule to be conducted by the Department of Health. The savings from this measure will be redirected by the Government to fund other veterans' policy priorities.

2014-15 2015-16 2016-17 2017-18 2018-19
...Department of Veterans Affairs -$0.9Mil -$18.6Mil -$27.4Mil -$22.7Mil
...Total — Expense -$0.9Mil -$18.6Mil -$27.4Mil -$22.7Mil


National partnership on treating more dental patients —

Between 2012-13 and 2014-15, the Government provided funding to the States and Territories for the provision of additional services to around 400,000 public dental patients through the National Partnership Agreement on Treating More Public Dental Patients. At the expiry of the current National Partnership Agreement, it will not be renewed (as flagged in the 2014 Australian Government budget) and a further agreement with the States and Territories is due to commence in 2015-16 to improve access to dental services for adult public dental patients.

This update was issued on 13 May 2015 and please note that changes in circumstances after the publication of material or information may impact upon its accuracy and also change tax compliance obligations. It is recommended that expert advice be sought before taking action based upon the information presented here.

Member Engagement —

ADIA provides leadership, strategy, advocacy and support. Our members set our agenda, fund our activities and directly benefit from the results. With respect to the Association's work to ensure that the initiatives within the 2015 Australian Government budget support the dental industry, the team in the ADIA national office receive advice and guidance from members serving on the ADIA-BAC Business Affairs Committee.

Further Information —

To keep up to date with how ADIA is working to ensure that the Australian Government budget supports the dental industry, subscribe to the Twitter feed @AusDental or follow us on Facebook at www.facebook.com/dental.industry. Alternatively, you can contact the Association via email at canberra@adia.org.au or by telephone on 1300 943 094.


This information is available for your use under a Creative Commons Attribution 3.0 Australia licence, with the exception of the ADIA logo, other images and where otherwise stated.

A.. A D I A . .S T R A T G E G I C . .A L L I A N C E S

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