A year ago the sector was counting down. Webinars, readiness checklists, gap analyses, and a general sense that 1 November 2025 was a cliff edge. Twelve months on, the more useful question is not whether providers survived the transition. Most did. It is which of the changes turned out to matter, and which ones were noise.
The Aged Care Act 2024 commenced on 1 November 2025, replacing the Aged Care Act 1997 and the Aged Care Quality and Safety Commission Act 2018. It arrived alongside the Aged Care Rules 2025, the seven strengthened Quality Standards, and Support at Home.
On 3 November 2026, the Department of Health, Disability and Ageing published its own twelve month update, noting that implementation is continuing and identifying areas where more work is needed. That is a fair summary. Here is ours, written from what we have seen inside facilities over the year.
The headlines were real. They were not the change.
The coverage last November focused on three things: a rights-based Act with a legally enforceable Statement of Rights, Support at Home replacing Home Care Packages and Short-Term Restorative Care, and the new residential fee arrangements including RAD retention of up to 2% a year for up to five years.
All three were genuine. All three were also, for most residential providers, largely absorbed within the first quarter. Policies were updated. Agreements were varied. Finance teams rebuilt their models.
The changes that have actually reshaped how providers operate were quieter, and they are still unfolding.
Four things that genuinely changed
- The audit stopped being an event and became a cycle. Aged care homes are being assessed against the strengthened Quality Standards over a three year period, and My Aged Care continues to display results against the previous Standards until a home has been assessed under the new ones. In practice this means most providers spent the year not knowing precisely when their turn would come. Preparation that assumes a known date no longer works.
- Registration became the lever. Under the new Act every provider of government-funded aged care must be registered, and the Commission conducts audits when a provider applies to register, renew or vary registration in categories 4, 5 and 6. Audit findings now feed registration decisions. That moves quality from a reputational matter to a licence to operate matter.
- Accountability acquired a name. The Act introduced a statutory duty on registered providers, and a separate duty on responsible persons, which includes members of a provider's governing body, to exercise due diligence. A responsible person can be liable whether or not the provider itself has been found liable, with civil penalties attached. Boards noticed this one slowly, then all at once.
- The bar moved from having a policy to showing the practice. The Commission's guidance on the strengthened Standards consistently emphasises how systems and processes work in practice rather than what documents exist. Under the new audit process it grades outcomes as conforming, minor non-conformance or major non-conformance, with its response scaled to the risk to older people.
Twelve months ago the question was "are we ready for the new Act?" It has quietly become "can we show what we do, on any given week, without notice?"
Where providers have struggled
The Commission's own Quality Bulletins give a reasonably clear picture of where attention has gone during the year.
Pricing transparency has been one of the most common compliance issues identified through the prudential review program, with providers required to publish pricing and service information. The Commission also ran targeted reviews, including one on the Liquidity Standard, specifically to understand whether providers grasp their obligations rather than simply to catch them out.
That last point is worth sitting with. Much of the regulator's year one activity has been educative in character. New audit processes include announced visits and clear communication about concerns and potential non-conformance before findings are made.
Year one was the grace period in temperament, if not in law. It would be unwise to assume year two carries the same tone.
What the strongest operators did differently
Across the facilities we work in, the providers who have had the easiest twelve months were not the ones with the biggest compliance teams. They were the ones who made a handful of structural decisions early.
They stopped preparing and started recording
Rather than running a readiness project with an end date, they changed how evidence is produced day to day. The strongest position in a rolling audit cycle is one where the evidence already exists because the systems create it.
They closed the policy to practice gap deliberately
They assumed the question would be how the system actually works, not whether a document exists, and went looking for the places where the two had drifted apart. Usually that is somewhere nobody had thought to check.
They gave their board real visibility
Once the responsible person duty landed, the better operators stopped giving directors summaries and started giving them data. Due diligence is difficult to demonstrate when the governing body only ever sees conclusions.
Two more things we would add, because they came up repeatedly.
- They treated the three year assessment runway as time to build, not time to wait. The providers who deferred are now building under pressure.
- They stopped separating "compliance systems" from "operational systems". The evidence that satisfies an assessor is the same evidence that runs the building well, and maintaining two parallel sets of records was always going to fail.
The providers who found year one easiest were not better prepared. They were better instrumented.
Where this touches the building itself
Most year in review pieces stop at governance and clinical care. We spend our time in the parts of a facility that rarely make the agenda, so here is what we have seen change there.
Standard 4, The Environment, and Standard 5, Clinical Care, both now require evidence about conditions over time rather than on the day. Nurse call performance, response times, environmental comfort and system reliability have moved from being maintenance concerns to being evidence sources. A provider who can produce twelve months of continuous records about how its building actually performed is in a materially different position to one assembling a folder the week before.
The practical version. RTM Cloud resolves more than 98% of issues remotely, supported by a 24/7 Australian Response Centre.
The part that has mattered most this year is not the efficiency. It is that continuous monitoring produces a continuous record, and a continuous record is what the new audit cycle actually asks for. The evidence is a by product of running the building properly, rather than a separate task competing for your Team's time.
What the next twelve months probably looks like
We would be cautious about predictions, and the Department itself describes implementation as continuing. But three things seem reasonably safe to expect.
More providers will move through their first assessment under the strengthened Standards, which means the sector will finally get a realistic picture of where the bar actually sits. Second, the educative tone of year one will narrow as the Commission accumulates a baseline. Third, governing bodies will keep asking harder questions, because the responsible person duty gives them a personal reason to.
None of that requires a dramatic response. It requires that when somebody asks what happened in your facility last March, the answer exists before the question does.
Frequently asked questions
When did the new Aged Care Act start?
The Aged Care Act 2024 commenced on 1 November 2025. It was passed by Parliament on 25 November 2024 and was originally scheduled to commence on 1 July 2025 before being deferred.
How many Aged Care Quality Standards are there now?
There are seven strengthened Quality Standards, down from eight under the previous framework. They took effect on 1 November 2025.
When will my facility be audited against the strengthened Standards?
Aged care homes are being assessed against the strengthened Quality Standards across a three year period. Audits are also conducted when a provider applies to register, renew or vary registration in categories 4, 5 or 6.
What are the new duties on providers and board members?
The Act introduced a statutory duty on registered providers and a separate due diligence duty on responsible persons, which includes members of a provider's governing body. Civil penalties apply, and a responsible person may be liable independently of the provider.
What counts as evidence under the strengthened Standards?
The Commission's guidance emphasises how systems and processes work in practice rather than the existence of documents. Continuous operational records generally carry more weight than material assembled in preparation for an audit.
Twelve months in. How would your evidence hold up?
Thirty minutes with your systems in front of us and you will know what you could evidence today, across every site, without asking anyone to go and find it.
Book a Discovery Session Or call 1300 997 248Sources and further reading
Our plain English summary of the legislation is on our Aged Care Act page, and unfamiliar terms are explained in the aged care glossary.
The strengthened Quality Standards, the Commission's audit approach and its Quality Bulletins are published by the Aged Care Quality and Safety Commission. The Department of Health, Disability and Ageing published its twelve month update on the Act on 3 November 2026.
This article is general information about the regulatory environment and is not legal advice. Providers and responsible persons seeking certainty about their obligations should obtain advice specific to their circumstances.
#AgedCare #AgedCareAct #QualityStandards #AgedCareCompliance #Governance #RTMCloud