23 February 2026

The Royal Australasian College of Physicians (RACP) is urging the Federal Government to make significant investments in the nation’s healthcare system in the upcoming May Federal Budget to address workforce shortages and widening health inequities across the nation.

RACP President Professor Jennifer Martin says, “The upcoming Federal Budget must have a plan to relieve the chronic strain on our healthcare system, including addressing workforce shortages and supporting innovative models that meet modern healthcare needs, while simultaneously investing in long-term prevention to reduce avoidable illness and future demand.

The RACP’s 2026-2027 Pre-Budget submission, The physicians’ prescription for Australia’s healthcare, sets out the priorities for the upcoming budget including:

• Strengthening patient access to physician care to ensure equitable access for all Australians,  particularly in regional, rural and remote areas
• Improving the health and wellbeing of the workforce to reduce burnout and ensure sustainability
• Investing in collaborative care models and a fit for purpose Medicare system that meets complex and chronic care needs
• Improving disease prevention to reduce hospital admissions and funding pressures
• Funding reforms to protect against medicine shortages and monitor changes in how medications are used. 

“Australia’s healthcare system is under significant strain right now and we have a chronically burnt-out workforce across the country.

“The RACP wants to see the Federal Government invest in better workforce modelling to identify and address the gaps in specialist care across the country – to start improving the state of burnt-out doctors and overwhelmed hospitals. 

“We also know that patients living in regional, rural and remote areas are bearing the brunt of these workforce shortages – and it’s coming at a great cost to their health.

“We also need to see fit for purpose Medicare models to meet complex care needs and support for physicians, GPs and allied health professionals working together to care for patients with early access to physician advice.   

“And while we need immediate measures to address the existing strain on our healthcare system – we also want to see a commitment to long term preventive health measures so that we can protect the system from future strain, too.

“Over one third of the total burden of disease in Australia could have been prevented by reducing exposure to all the modifiable risk factors, including environmental contributors and lifestyle factors.

“This is a significant avoidable human and financial cost, where in previous years we’ve seen how every $1 invested in preventive health can save an estimated $14.30 in healthcare and other costs.”

“After years of delayed action on key national prevention strategies, immediate, sustained investment must be put into prevention in this year’s budget.”

The RACP stands ready to work with the Government to deliver improved health and wellbeing outcomes for all Australians.

The RACP Pre-Budget Submission can be found here: https://www.racp.edu.au//docs/default-source/advocacy-library/2026-pre-budget-submission-to-the-australian-treasury.pdf?sfvrsn=4dcdaf1a_5