The Independent Hospital Pricing Authority and mental health services: it is not a case of “one size fits all”

Alan Rosen, Patrick D McGorry, Hamish R M Hill and Sebastian P Rosenberg
Med J Aust 2012; 196 (11): . || doi: 10.5694/mja12.10564
Published online: 18 June 2012

Applying a generic form of activity-based funding to mental health risks perpetuating an inappropriate hospital-centric model of psychiatric care

The upcoming implementation of activity-based funding (ABF) should drive unprecedented levels of transparency and has the potential to deliver vital funding increases to mental health services. However, current plans to apply a generic form of ABF based on diagnosis-related groups (DRGs) to mental health risk a continuation of Australia’s inappropriate hospital-centric model of psychiatric care. There is much work to do to ensure that ABF is implemented in an evidence-based manner to support patients with mental illnesses, who often require long-term community care and support.

  • 1 School of Public Health, University of Wollongong, Wollongong, NSW.
  • 2 Brain and Mind Research Institute, University of Sydney, Sydney, NSW.
  • 3 ORYGEN Research Centre, University of Melbourne, Melbourne, VIC.
  • 4 University of Wollongong, Wollongong, NSW.



Thanks to Professor Kathy Eagar, Associate Professor Roger Gurr and Professor Ian Hickie for advice on content.

Competing interests:

No relevant disclosures.


remove_circle_outline Delete Author
add_circle_outline Add Author

Do you have any competing interests to declare? *

I/we agree to assign copyright to the Medical Journal of Australia and agree to the Conditions of publication *
I/we agree to the Terms of use of the Medical Journal of Australia *
Email me when people comment on this article

Online responses are no longer available. Please refer to our instructions for authors page for more information.