Primary health care

In 2022–23, $83.3 billion was spent on primary health care. Of this, the Australian Government spent $36.8 billion (44.2%), non-government entities $33.0 billion (39.6%), and state and territory governments $13.5 billion (16.2%) (Figure 27).

This represented a $7.5 billion decrease (8.2%) in spending from 2021–22 in real terms. This decline in 2022–23 was mainly due to decreased spending by the Australian Government of $6.9 billion (15.8%) and state and territory governments of $1.7 billion (11.3%) (Table 32).

Figure 27: Primary health care expenditure, by source of funds, constant prices (a), 2012–13 to 2022–23

The line graph shows that spending on primary health care by the Australian Government, state and territory governments and non-government sector over the decade from 2012–13 to 2022–23. Australian Government spending on primary health care was the highest of all sources, increasing in most years and reached $43.8 billion in 2021–22 and then decreased $36.8 billion in 2022–23. Similarly, state and territory government spending on primary health care also increased over decade from $9.5 billion in 2012–13 to $13.5 billion in 2022–23. Non-government spending increased every year to $31.0 billion in 2018–19, then declined to $29.3 billion in 2019–20 before it bounced back to $33 billion in 2022–23.

The line graph shows that spending on primary health care by the Australian Government, state and territory governments and non-government sector over the decade from 2012–13 to 2022–23. Australian Government spending on primary health care was the highest of all sources, increasing in most years and reached $43.8 billion in 2021–22 and then decreased $36.8 billion in 2022–23. Similarly, state and territory government spending on primary health care also increased over decade from $9.5 billion in 2012–13 to $13.5 billion in 2022–23. Non-government spending increased every year to $31.0 billion in 2018–19, then declined to $29.3 billion in 2019–20 before it bounced back to $33 billion in 2022–23.

⁽ᵃ⁾ Constant price health spending is in 2022–23 prices.

Note: State and territory governments do not spend on unreferred medical services, benefit-paid pharmaceuticals and all other medications.

Source: AIHW Health Expenditure Database (Table 32).

The decrease in spending in real terms on primary health care in 2022–23 was attributable to decreases on: public health (decreased by $8.7 billion, including spending on COVID-19 vaccines, rapid antigen test kits and personal protective equipment products), other health practitioners (by $0.5 billion), and unreferred medical services (by $0.2 billion) (tables A5 and A6).

Between 2012–13 and 2022–23, real growth increased by an average of 2.7% each year. The Australian Government spending on primary health care increased the most over the decade, by $9.0 billion, representing an average yearly real growth of 2.8%.

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