AN-ACC Price Up 2.55%; Regis Says Below Cost Inflation

Regis Healthcare Limited (ASX:REG) acknowledged the Australian Government's announcement on 2 September 2026 that the Australian National Aged Care Classification (AN-ACC) starting price will increase 2.55 per cent from $295.64 to $303.19, effective 1 October 2026, and that the hotelling supplement will remain unchanged at $22.15 per resident per day. The company said the increase reflects the Government's annual pricing determination and is based on advice from the Independent Health and Aged Care Pricing Authority, and that the Government has confirmed current care minute requirements and AN-ACC fixed and variable funding categories will be maintained.

Regis said that in its assessment the headline 2.55 per cent increase is significantly below prevailing cost inflation across the sector and the broader economy, listing a 4.75 per cent increase from the Annual Wage Review for all award-based workers effective 1 July 2026, increases of between 1.5 per cent and 4.4 per cent under the final stage of the Fair Work Commission's Aged Care Work Value Case for registered nurses and enrolled nurses effective 1 August 2026, wage increases under enterprise agreements, and Consumer Price Index growth of 3.8 per cent in the twelve months to June 2026. The company said it is disappointed that the funding outcome does not reflect the underlying cost of care and that adequate sector funding is required to encourage new greenfield developments at a time when demand for residential aged care continues to grow. It said that, as previously announced, it is undertaking a range of initiatives to mitigate ongoing margin pressure associated with government funding settings, including increases to room prices, the rollout of Higher Everyday Living Fee services, other revenue optimisation and operational efficiency initiatives.