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<postdate>2025-02-05 14:55:31</postdate>
<headline>Stretched hospitals get $1 billion in &#8216;landmark&#8217; deal</headline>
<body><p><img class=" wp-image-337651" src="https://citynews.com.au/wp-content/uploads/2025/02/20240930184405339740-original-1.jpg" alt="" width="657" height="492" /></p>
<caption>The federal government&#039;s contribution to public hospitals will be increased by 12 per cent. (Mick Tsikas/AAP PHOTOS)</caption>
<p class="wire-column__preview__author"><span class="kicker-line">By <b>Kat Wong</b> in Canberra</span></p>
<p><strong>Public hospitals and health services will receive $1.7 billion in extra funding to help save more lives.</strong></p>
<p>Anthony Albanese revealed this money would increase the federal government's contribution to public hospitals by 12 per cent, raising its total funding across the states and territories to $33.91 billion in 2026.</p>
<p>This commitment will help reduce emergency room waiting times, manage ambulance ramping and cut waiting lists.</p>
<p>"This matters to people, and this decision today will help save lives and lead to better outcomes for our nation's hospitals," the prime minister told reporters in Canberra on Wednesday.</p>
<p>Australia's hospitals have been placed under increasing pressure as the population ages, people become more sick and the consequences from the COVID-19 pandemic continue to ripple through the system.</p>
<p>Without government intervention, the Commonwealth's share of public hospital funding would only continue to drop.</p>
<p>"The existing arrangements ... simply aren't fit for purpose," Health Minister Mark Butler said.</p>
<p>"We have a terrific public hospital system in Australia, staffed by some of the best trained doctors, nurses and health professionals anywhere on the planet, but it is a hospital system under very, very serious pressure.</p>
<p>"This is a landmark deal between the states, the territories and the Commonwealth."</p>
<p>With Australians set to head to the ballot box some time before May, the government has used this announcement to remind voters of Labor's record on health.</p>
<p>"Our priority is strengthening Medicare, not ensuring that every taxpayer pays for someone to get a free lunch or karaoke night or weekend away at the cost of low and middle income earners," Mr Albanese said in reference to the opposition's tax-free lunch policy.</p>
<p>"Labor created Medicare and will protect it."</p>
<p>The federal government has also tripled the bulk-billing incentive and delivered urgent care clinics across Australia.</p>
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