Government announces AN-ACC pricing from 1 October 2026

Key points

• Australian Government increases AN-ACC starting price by 2.55% from $295.64 to $303.19
• Hotelling supplement remains at $22.15 per resident per day
• Regis expresses disappointment over funding not reflecting cost inflation
• Company is taking steps to mitigate margin pressure

Full summary

Regis Healthcare Limited (ASX:REG) acknowledges the Australian Government's announcement on 2 September 2026 that the Australian National Aged Care Classification (AN-ACC) starting price will increase by 2.55% from $295.64 to $303.19, effective 1 October 2026. The Government also announced that the hotelling supplement will remain unchanged at $22.15 per resident per day. The increase in the AN-ACC price reflects the Australian Government's annual pricing determination and is based on advice from the Independent Health and Aged Care Pricing Authority (IHACPA). The Government has also confirmed that current care minute requirements and AN-ACC fixed and variable funding categories will be maintained. In Regis' assessment, the headline 2.55% increase to the AN-ACC starting price is significantly below prevailing cost inflation across the sector and the broader economy. Regis is disappointed that the funding outcome does not reflect the underlying cost of care. Adequate sector funding is required to encourage new greenfield developments at a time when demand for residential aged care continues to grow. As previously announced, Regis is undertaking a range of initiatives to mitigate ongoing margin pressure associated with government funding settings. These include increases to room prices, rollout of Higher Everyday Living Fee (HELF) services, other revenue optimisation and operational efficiency initiatives.

Guidance

Regis Healthcare is implementing measures to mitigate margin pressure.

Outlook

Regis Healthcare is implementing measures to mitigate margin pressure and maintain operational efficiency.