Aged Care Fees: Unfair Charges for Vulnerable Residents (2026)

The aged care sector in Australia is facing scrutiny over controversial fees charged to residents, particularly those with dementia. The story of Jeff Gilling and his mother, Dorothy, highlights a widespread issue: aged care facilities are allegedly charging for services that residents cannot use or understand, raising ethical and legal concerns.

The Shocking Discovery

Gilling's shock at discovering the $52 daily fee for Foxtel, outings, newspapers, and wine for his mother, who had advanced dementia, is a sentiment shared by many. The Aged Care Quality and Safety Commission received 199 complaints about fees in the first half of 2026, with a focus on for-profit providers. This has led to investigations and a class action against Arcare, a for-profit aged care provider, for allegedly charging residents for services they couldn't access.

Ethical and Legal Dilemmas

Aged care legislation states that providers can only charge for additional services if residents agree, can access them, and have the capacity to benefit. Gilling's email to Estia Health's Epping facility manager, expressing his belief that the charges were unlawful, underscores the ethical dilemma. His successful fight for a refund of almost $37,000 showcases the potential for residents and their families to challenge these fees, but it also reveals the power imbalance in the aged care system.

The Higher Everyday Living Fee (Helf)

The government's introduction of Helf in November aimed to address unlawful charging for basic services. However, concerns have been raised about its implementation. Dr. Sarah Russell, from Aged Care Matters, warns of a 'two-tier' system, where providers can choose the cost and type of inclusions, potentially reducing the quality of standard services. This raises questions about the true purpose of Helf and its impact on resident well-being.

The Way Forward

As the investigations continue, the aged care sector must address the ethical and legal implications of these fees. The personal stories of residents and their families, like Gilling's, highlight the need for transparency and accountability. The sector must ensure that residents' rights are respected, and that fees are only charged for services they can genuinely access and benefit from. The future of aged care in Australia depends on these critical reforms.

Aged Care Fees: Unfair Charges for Vulnerable Residents (2026)

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