For the most up to date information on COVID-19 please visit the Department of Health Website.
Learn more about how the AIHW is assisting the COVID-19 response and our broader work on communicable diseases.
Government funding for health has risen, with individuals now funding a smaller proportion of health costs, according to a report released today by the Australian Institute of Health and Welfare (AIHW).
The report, Health expenditure Australia 2015–16, shows that $170.4 billion was spent on health goods and services in 2015–16, with $114.6 billion (67.3%) of this funded by governments.
This is up from 66.9% the year before and is the first increase in the proportion that governments contributed since 2011–12.
‘In 2015–16, the largest single source of health funding was the Australian Government, contributing $70.2 billion, or 41.2% of overall spending, up from $66.2 billion , or 41.0%, in 2014–15,’ said AIHW spokesperson Vicki Bennett.
State and territory governments contributed 26.1% ($44.4 billion) in 2015–16, up from 25.9% ($41.9 billion) a year earlier.
Over the same period, the share of spending by non-government funders, including individuals and private health insurers fell.
Non-government funders spent $55.8 billion on health in 2015–16, making up 32.7% of total health spending. This is down from 33.1% the previous year and is the first time that the non-government funding proportion has fallen since 2011–12.
‘Individuals contributed 17.3% to overall health spending, down from 17.7% a year earlier, which makes it the smallest contribution by individuals since 2011–12,’ Ms Bennett said.
Over half (52.7%) of non-government spending was by individuals with private health insurers and other non-government sources contributing the remainder.
When looking at how the money was spent, the report reveals two broad categories of expenditure: public hospital services and primary care (such as general practitioners).
The majority of primary care funding was provided by the Australian Government ($25.6 billion or 43.3%), while state and territory governments funded more than half (52.5%) of the $51.1 billion bill for public hospital services.
Primary health care accounted for the largest portion of spending by individuals (68.0%, or about $20 billion), with more than one-quarter of this ($5.7 billion) spent on dental services.
Overall, growth in health spending has slowed in recent years, rising by 3.6% in 2015–16—well below the 10-year average of 4.7%.
Despite this, health spending makes up a growing proportion of the economy, holding a 10.3% share of the Gross Domestic Product (GDP) in 2015–16, up from 10.0% a year earlier.
We'd love to know any feedback that you have about the AIHW website, its contents or reports.
The browser you are using to browse this website is outdated and some features may not display properly or be accessible to you. Please use a more recent browser for the best user experience.