
25 June 2026
Inclusive, safe and engaged communities
Rural and regional health
The 2026–27 Budget includes a $10.3 billion increase in health funding over four years, delivered with the Australian Government, and $11.9 billion for health care infrastructure over the same period.
The following measures align with several priorities in LGNSW’s Caring for our Regions Six Point Action Plan on Rural and Regional Health.
Strengthening the regional health workforce
- Recruitment of 9,000 additional health workers
- Pay increase for nurses and midwives of between 16 and 28 per cent over three years.
Establishing a GP guarantee for rural and regional communities
- Up to six fully bulk-billed GP clinics across regional NSW, expected to open by mid‑2027 (administered by the Australian Government), supporting access to primary care
Reimbursing councils for filling health service gaps
- LGNSW continues to advocate for a dedicated rural, regional and remote health reimbursement scheme to compensate councils for the costs they incur in supporting access to local healthcare services
Funding patient transport as core health infrastructure
- $71.7 million for the Isolated Patients Travel and Accommodation Assistance Scheme (IPTAAS), which provides reimbursement for travel and accommodation costs for patients needing to access care far from home. While this supports patients financially, IPTAAS remains a reimbursement scheme and does not directly provide access to transport.
Restoring safe, local maternity care
- $20 million for an upgraded purpose-built maternity unit at Grafton Hospital
Investing in community-based aged care and ageing in place
- $35.7 million to support Aged Care Reform pilots aimed at strengthening the aged care system, including initiatives to better support older people to receive appropriate care in community settings and reduce extended hospital stays.
Arts, culture and vibrant communities
- $26.8 million to implement commitments under the Creative Communities Policy and arts sub-sector strategies
- $17.0 million to support collaboration across art forms and organisations, develop new exhibitions, events and performances, and attract international and local opportunities
- $17.0 million for Create NSW to grow audiences and support a more vibrant and sustainable creative ecosystem
- $29.1 million for the Office of the 24‑Hour Economy Commissioner to support vibrant, safe and diverse night‑time precincts, including in regional areas (an increase of $8.5 million from last year).
Inclusive communities
- $45.3 million to support Closing the Gap commitments in 2026-27. The current allocation reflects an estimated $16.4 million shortfall against previously announced investment levels
- $42.6 million to extend the three‑year‑old Fee Relief Trial Payment in Long Day Care to the end of the 2027 calendar year
- $39.0 million in 2026-27 for temporary accommodation, providing short‑term emergency housing for people experiencing, or at risk of, rough sleeping or homelessness, or who cannot safely remain in their current home
- LGNSW commends the NSW Government’s $184.1 million investment in six frontline services delivering domestic and family violence programs. While this investment expands existing crisis response services, it represents a missed opportunity to invest in place‑based prevention initiatives in communities to deliver long‑term impacts
- State Library of NSW funding has decreased by 1.8%, while grants to public libraries remain largely steady with a small population‑driven increase. The per capita funding rate remains fixed at $2.85, with no mechanism to keep pace with rising costs.