Rural Councils Step In as GP Shortages Put Pressure on Local Communities

Rural Councils Step In as GP Shortages Put Pressure on Local Communities

10 Jul 2026

In communities where it is difficult to attract and retain GPs, councils are helping cover the cost of medical clinics, doctor housing, income support and recruitment incentives. In Tasmania, residents of the Glamorgan Spring Bay Council contribute through their council rates to help fund GP clinics in Bicheno and Triabunna.

Mayor Cheryl Arnol said the local funding model has helped keep GP services available, but believes providing primary healthcare should not be a council responsibility.

Similar challenges are being experienced across regional Australia. Rural Health West told a Senate committee that local governments in Western Australia contributed around $9.5 million towards GP services in 2024–25, with most of the funding coming from small councils serving fewer than 5,000 residents.

Dr Michael Bonning said councils are stepping in because some rural general practices are not financially sustainable under the current funding model. He said stronger government support, including targeted funding for hard-to-service communities, could improve access to healthcare in regional and remote areas.

Local government organisations have also argued that funding GP services places extra financial pressure on councils, forcing them to divert money away from community infrastructure and other essential services.

The Federal Government says it is investing in stronger Medicare support, higher bulk-billing incentives for rural areas and workforce initiatives to increase the number of doctors practising in regional and remote communities. However, councils say long-term funding reforms are needed to ensure rural Australians have reliable access to general practice without relying on local ratepayers.

Rural Councils Step In as GP Shortages Put Pressure on Local Communities

Source: newsGP

 

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