On July 1st, the NDIA released its 2024-25 Annual Pricing Review. One of the most consequential decisions within this APR is the recommendation to reduce travel compensation by 50% for service providers delivering care in regional and remote areas.
The 50% travel cost cap will force rural and regional providers to withdraw from communities where the cost of travel far exceeds the new capped rate. These communities are often the ones that are most in need of care.
The unintended result of this travel cap is the systematic dismantling of regional service infrastructure and an increase in long-term care costs due to unmet early needs.
