Rising cost of living means people are delaying health care. The upcoming Victorian Budget can help fix this.

As the Victorian Government and the newly sworn in Ministers prepare to hand down the 2026-27 State Budget next month, families across our state are facing a perfect storm. The cost of living continues to rise, household budgets are stretched thin, and for many Victorians, the gap between needing healthcare and being able to afford it is getting wider.

Rising grocery bills, energy costs and housing costs, means more families are making the difficult decision to delay healthcare.  For our clients in rural and regional Victoria, where inflated fuel costs are hitting hardest, it is becoming too expensive to travel to appointments.   

But the consequences of delayed care can be detrimental. Postponed or cancelled appointment now can have dire consequences in the future, such as  longer term problems or an overall deterioration in health.

For some people, the delay means they end up with an unwanted visit to an emergency department, at a far greater cost to them and the health system.

Community health is the lifeline that can help  

Victoria's 21 registered independent community health services exist precisely for moments like this. Delivering affordable healthcare close to home, in the communities where people live and work.

More than 674,000 people, that’s 1 in 10 Victorians, accessed community health services last year. That number grew by 11 per cent in a single year. A clear signal that demand is rising as cost-of-living pressure intensifies. 

9 in 10 clients say community health makes it easier to get the care and support they need. Two thirds say it is better than other health services they use.

Community Health Client

For families doing it tough, community health isn't just a service, it is a lifeline that prevents financial stress from becoming acute illness. 

And yet, community health receives less than 1 per cent of Victoria's $27 billion health budget and long term underinvestment in infrastcuture is limiting access to care and ability to scale and meet demand.  

Recent analysis by Infrastructure Victoria shows that chronic under‑investment in community health buildings is costing our communities, with ageing and overcrowded facilities preventing services from meeting rising demand, particularly in fast‑growing and regional communities. 

This is driving more people to emergency departments, with more than 550,000 potentially preventable Emergency Department presentations occuring in Victoria each year. This costs the health system $500 million annually. We can change this by making more support and services available in our communities.  

When community health is properly resourced, people get the right care at the right time, they can better manage their health long term, and they stay out of hospital.

A defining investment opportunity 

Community Health First is calling on the Victorian Government to make five targeted investments in the 2026-27 Budget that will ease pressure on families, our health system and make sure more people can access affordable care close to home.  

These investments in our sector will help families who are facing rising financial stress and make sure they are not skipping much needed healthcare. 

1. Increase services by funding an additional 60,000 hours of affordable care across the state, providing respite for families who need affordable access to healthcare.

    

2. Improve buildings through a dedicated Community Health Infrastructure Fund. More spaces and improved access mean more people can get care close to home. 
   

3. Expand chronic disease care that will support 10,000 people statewide to receive chronic disease support in the comfort of their own home rather than having to go to hospital.  
   

4. Increase funding for preventative health care for in regional communities that will decrease the need to travel or make their way to emergency departments, and ambulance callouts. 
   

5. Fund a Virtual Connected Care service that brings more nursing, allied health and chronic disease support to Victorians no matter where they live and reduces the need to travel when fuel costs are rising month on month.

    

Together, these investments can ease the pressure on people across the state who are facing increasing financial distress while simultaneously unlocking up to $700 million in avoided future health systems costs.

This is the right moment 

The Victorian Government has set a bold vision: Victorians as the healthiest people in the world. Record investments in acute health over the past two years have laid strong foundations. But a hospital system alone cannot deliver on that vision. The research is clear, the models are proven, and the community health sector is ready and waiting to scale. 

Anna Robinson, Chair, Community Health First 

Community health is affordable, local and personalised. It works. And right now, it needs investment to meet the moment. 

Read our full 2026-27 Budget Submission here.