NDIS and Aged Care Patients Trapped in Hospitals as ‘Bed Block’ Crisis Worsens

A Growing Challenge in Our Hospitals

Almost 1700 people needing either federal government-funded aged care or NDIS support could find themselves stuck in NSW public hospitals by mid-2027. This challenging situation, known as “bed block,” means patients who no longer need acute hospital care cannot be discharged because suitable places in the community aren’t available.

Recent data from the Bureau of Health Information reveals that over 1300 patients are currently in this predicament across NSW. This number has grown by 300 in the past year alone, highlighting a critical shortage of support options outside of hospitals.

What is ‘Bed Block’ and Why Does it Matter?

“Bed block” occurs when a hospital bed is occupied by a patient who is medically ready to go home or move to a more appropriate care setting, such as an aged care facility or a disability support service funded by the NDIS. However, due to a lack of available placements or coordination, these patients remain in hospital.

This situation has significant consequences. For patients, waiting indefinitely in a hospital environment can hinder their recovery, limit their mobility, and reduce their quality of life. NSW Health Minister Ryan Park underscored this, stating that such delays are “not good for patient mobility, recovery or quality of life.”

For hospitals, bed block means that essential beds, particularly in emergency departments (EDs), are tied up. Minister Park noted that “one in eight ED accessible beds in NSW public hospitals cannot be used” because of these delays, impacting the hospital’s ability to admit new emergency patients and provide timely care.

The Numbers Tell a Sobering Story

The number of people awaiting aged care or NDIS placements is “growing at an unprecedented and unsustainable level,” according to NSW Health Minister Ryan Park. This persistent rise has created bottlenecks in the hospital system, despite some improvements in other areas like emergency department wait times.

The impact is particularly acute in some of Sydney’s busiest hospitals. In the year leading up to June 2026, the number of patients waiting for aged care or NDIS support in Sydney’s southeast surged from 68 to 157.

Specific hospitals have seen dramatic increases:

At **St George Hospital**, the number of stranded patients rose from 17 to 64, marking the largest increase in NSW.
**Prince of Wales Hospital** saw numbers climb from 20 to 47.
In Sydney’s west, **Bankstown Hospital** doubled its waiting patients from 15 to 30.
**Liverpool Hospital** saw an increase from 22 to 52.

Across the board, older patients waiting for aged care placements represent the largest portion of this increase, rising by almost 40 percent in a year, from 761 to 1063 patients.

Federal Reforms and State Responses: A Complex Picture

Both federal and state governments acknowledge the challenge and are working on solutions, though progress remains complex.

Federal NDIS and Aged Care Reforms

The federal government has embarked on significant reforms for both the NDIS and aged care sectors. For the NDIS, these reforms include plans that could see some people with lower support needs transition from direct NDIS funding to what are called “foundational supports.” These foundational supports would be funded and delivered by state and territory governments.

While this aims to ensure the NDIS primarily serves those with the most significant disability, it places a heavy reliance on state and territory governments to provide robust alternative services. The current bed block situation highlights the urgency for these state-funded alternatives to be established and effective.

NSW Government Initiatives

The NSW government has invested $35.7 million into its Aged Care Response Package. This initiative aims to expand services for older people who wish to remain in their homes, reducing the pressure on hospital beds and residential aged care facilities. The state is also collaborating with the federal government on these efforts.

Despite these challenges, there have been some positive developments within the hospital system. The latest data indicates an improvement in emergency department wait times, particularly for category two patients (those with life-threatening conditions). There has also been a reduction in ambulance “ramping,” with a higher percentage of patients transferred from paramedics to the ED more quickly.

Looking Ahead: What This Means for Participants and Providers

This ongoing ‘bed block’ crisis underscores the critical need for better coordination between hospitals, the NDIS, aged care services, and community support systems. For NDIS participants and their families, it means potential delays in discharge and prolonged stays in a hospital environment that is not designed for long-term care.

For NDIS Participants and Families:

If you or someone you care for is in hospital and medically ready for discharge but awaiting NDIS-funded support, it’s crucial to actively engage with the hospital’s discharge planning team and your NDIS support coordinator. Ensure your NDIS plan is up-to-date and adequately reflects your current support needs, especially around accommodation and daily living assistance.

For Disability Service Providers:

This situation highlights the pressing demand for NDIS-funded accommodation and community-based support services. Service providers play a vital role in addressing this gap. Collaborating closely with hospitals and local health districts on discharge pathways could help streamline transitions and ensure people receive the right care in the right place.

Ultimately, ensuring that individuals can move from hospital into appropriate community-based care is not just about hospital efficiency; it’s about dignity, quality of life, and building a more responsive and integrated support system for everyone.

Hazel Chen

I work in marketing and communications for NDISLocal, helping connect NDIS participants, families, and providers with clear, useful information about the sector. I'm passionate about making the NDIS easier to understand and navigate, and about giving disability service providers a platform to reach the people who need them. If you'd like to know more about anything covered in this post, or you're a provider interested in being featured, feel free to get in touch.