The states and territories rejected a 23-billion-dollar deal in mid-December, which included $2 billion for managing the increasing number of older Australians waiting for a bed in a residential facility. The Prime Minister had been clear in the lead-up to negotiations that he expected states and territories to work on constraining their health budgets. Catholic Health Australia has welcomed the news, particularly the $2 billion aimed at reducing the number of patients occupying hospital beds while waiting for aged care. “Older Australians stuck in hospital beds because they cannot access aged care is a major system failure that affects patients, families and hospital capacity,” Dr Bassett said. “Addressing this bottleneck is critical to ensuring hospital beds are available for acute care and older Australians receive care that best meets their needs”.