Comparison with 2021–22 and historical data

Estimated spending by disease increased by $13 billion (in current prices) to $172.3 billion in 2022–23, up from $159.3 billion in 2021–22. This was an overall growth of 8.2% in nominal terms (current prices). This compares to a nominal growth of 2.7% in recurrent health spending in 2022–23 reported in Health expenditure Australia 2022–23 (AIHW 2024a). The disease expenditure database could allocate around 73% of recurrent health spending to disease groups in 2022–23. The large decrease in spending on public health in 2022–23 (–52%) largely contributed to the lower overall growth in recurrent health spending. This was related to the decrease in government spending relating to the COVID–19 pandemic in 2022–23 compared to 2021–22.

Chronic conditions, also referred to as chronic diseases, non-communicable diseases or long-term health conditions are generally characterised by their long-lasting and persistent effects. There are over 100 burden of disease conditions that are considered to be chronic conditions. In 2022–23, spending on chronic conditions accounted for around $82 billion (48% of all disease spending). Over the period 2013–14 to 2022–23, total spending by disease and injury grew $70.5 billion (in current prices), of which $38.2 billion (54%) was due to an increase in spending for chronic conditions.

Overall rank of disease groups

  • Cancer, cardiovascular diseases and musculoskeletal disorders, were the top 3 disease groups in all but one year over the period 2013–14 to 2022–23, accounting for around one-third of spending each year.
  • Spending on cancer and other neoplasms more than doubled from $9.3 billion in 2013–14 to $18.9 billion in 2022–23 and has been the highest ranked disease group in terms of spending since 2014–15.
  • The top 4 specific cancers in terms of spending for each year between 2013–14 and 2022–23 were prostate cancer, non-melanoma skin cancer, breast cancer and bowel cancer.

The following data visualisation (Figure 10) shows the top 8 specific cancers in terms of spending in 2022–23 and how spending has grown for these cancers since 2013–14. Data used to create the visualisation is available to download from the data tables.

Figure 10: Spending on top 8 cancers in 2022–23 compared to 2013–14

This bar graph illustrates how spending on the top 8 specific cancers in 2022–23 has grown since 2013–14 in current prices. Spending on prostate cancer was the highest in both 2013–14 and 2022–23. Bowel cancer was the second highest in 2013–14 but dropped to the fourth highest in 2022–23.

This bar graph illustrates how spending on the top 8 specific cancers in 2022–23 has grown since 2013–14 in current prices. Spending on prostate cancer was the highest in both 2013–14 and 2022–23. Bowel cancer was the second highest in 2013–14 but dropped to the fourth highest in 2022–23.

In 2021–22, infectious diseases was the second highest disease group in terms of spending ($15.8 billion), increasing $5.0 billion from 2020–21, primarily due to the large amount of spending related to COVID–19 in that year. Spending on infectious diseases then decreased by $3.1 billion in 2022–23 and spending on this disease group dropped back to the fourth highest overall.

In 2013–14, musculoskeletal disorders had the highest spending of all disease groups. While spending has continued to increase for musculoskeletal disorders over the period to 2022–23, there was a drop in ranking and spending in 2021–22 coinciding with COVID–19 lockdowns and the cancellation of elective surgeries. This would have impacted the number of musculoskeletal conditions treated in hospitals in that year.

The following interactive data visualisation (Figure 11) shows the change in rank in terms of overall spending and spending by broad area of expenditure between 2013–14 and 2022–23. Data used to create the visualisation is available to download from the data tables.

Figure 11: Ranking of spending on disease groups, by broad area of expenditure, current prices, 2013–14 to 2022–23

This bar graph ranks diseases and injury groups by broad areas of expenditure for each year. The highest spending, of the burden of disease groups was for cancer, followed by cardiovascular diseases and musculoskeletal disorders in most years.

This bar graph ranks diseases and injury groups by broad areas of expenditure for each year. The highest spending, of the burden of disease groups was for cancer, followed by cardiovascular diseases and musculoskeletal disorders in most years.

Spending by sex and age group

  • Early in the period from 2013–14 to 2016–17, spending peaked for both males and females in the 65–69 year age group. Since 2017–18, spending has peaked slightly later in the 70–74 year age group.
  • For Infectious diseases, the 1–4 year and 85+ years age groups had the highest share of spending for both males and females for most years in the period 2013–14 to 2022–23. In 2021–22 during the height of the COVID–19 pandemic, spending for infectious diseases peaked in the 30–34 year age group.
  • Since 2017–18, spending on cancers has peaked in the age group 70–74 years for both males and females.

The following interactive data visualisation (Figure 12) shows the spending on disease groups by broad area of expenditure, age group and sex in current prices between 2013–14 and 2022–23. Data used to create the visualisation is available to download from the data tables.

Figure 12: Spending on disease groups, by broad area of expenditure, age group and sex, current prices, 2013–14 to 2022–23 ($ million)

This butterfly bar chart illustrates the distribution of spending across age groups and sexes for disease groups over a ten-year period. A consistent trend shows that spending for males peaks in the older age groups, particularly between 65 and 74 years. In contrast, female spending is notably high in the 30–34 age group, with another peak occurring between 65 and 74 years.

This butterfly bar chart illustrates the distribution of spending across age groups and sexes for disease groups over a ten-year period. A consistent trend shows that spending for males peaks in the older age groups, particularly between 65 and 74 years. In contrast, female spending is notably high in the 30–34 age group, with another peak occurring between 65 and 74 years.

Spending by area of expenditure

  • Spending on infectious diseases across the period 2013–14 to 2022–23 has shown the most variation. The impact of COVID–19, resulted in a large increase in spending in 2021–22 in particular. Earlier in the decade, in 2016–17, there was an increase in spending of medicines on the PBS used to treat infectious diseases in that year, namely the inclusion of ledipasvir+sofosbuvir, which is primarily used to treat hepatitis C.
  • Throughout the period 2013–14 to 2022–23, musculoskeletal disorders had the highest share of spending in private hospitals.
  • Since 2019–20, PBS spending on cancers and other neoplasms was more than double the spending of the next highest disease group.

The following interactive data visualisation (Figure 13) shows the spending on disease groups by area of expenditure in current prices between 2013–14 and 2022–23. Data used to create the visualisation is available to download from the data tables.

Figure 13: Spending on disease groups, by area of expenditure, current prices, 2013–14 to 2022–23 ($ million)

This stacked bar chart presents a detailed breakdown of expenditure by disease group and area of expenditure over a ten-year period. It reveals a consistent rise in spending across all categories. Notably, there is a significant increase in expenditure for infectious disease groups in 2021–22, attributed to COVID-19 public health spending.

This stacked bar chart presents a detailed breakdown of expenditure by disease group and area of expenditure over a ten-year period. It reveals a consistent rise in spending across all categories. Notably, there is a significant increase in expenditure for infectious disease groups in 2021–22, attributed to COVID-19 public health spending.

AIHW (2024a) Health expenditure Australia 2022–23, AIHW, Australian Government.

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