In 2017, the WA Government initiated the Sustainable Health Review to drive the next phase of public health system reform. Without bold reform, State Budget health spending is projected to increase to 38% by 2026–27, limiting funding available for other priority areas across government.
In 2017–18, 7% of hospitalisations, at a cost of $368 million each year, could have been prevented if timely and appropriate health care and management had occurred in a community setting. Addressing wider determinants of health, such as the built environment, can improve health and reduce demand on the health system.
Strategic justification
WA’s health system is under increasing strain due to rising demand from factors such as an aging population and obesity, and the impacts of COVID-19. While the government has invested significantly to increase capacity, urgent reforms are needed to address underlying drivers of demand and stresses on the health system. With almost 75% of the health budget directed at hospitals, embracing new models of care that increase focus on prevention, more accessible community-based care, and advances in technology will be needed to improve health, reduce demand on hospitals and improve budget sustainability.
