Labor to deliver $1 billion for more free mental health services

ANTHONY ALBANESE MP
PRIME MINISTER OF AUSTRALIA

MARK BUTLER MP
MINISTER FOR HEALTH AND AGED CARE

EMMA MCBRIDE MP
ASSISTANT MINISTER FOR MENTAL HEALTH AND SUICIDE PREVENTION
ASSISTANT MINISTER FOR RURAL AND REGIONAL HEALTH

 

A re-elected Albanese Labor Government will make a billion-dollar investment to roll out even more places Australians can go for free, public mental health care backed by Medicare.
 
The $1 billion commitment continues the Albanese Labor Government’s work to fill the gaps in support with new free mental health services that are better matched to the needs of each Australian.
 
This election commitment includes an ongoing and sustained uplift in mental health funding.
 
The $1 billion mental health commitment includes:

  • $225 million for 31 new and upgraded Medicare Mental Health Centres
  • More than $200 million for 58 new, upgraded or expanded headspace services
  • $500 million for 20 Youth Specialist Care Centres for young people with complex needs
  • $90 million for more than 1,200 training places for mental health professionals and peer workers.

The new network of 20 Youth Specialist Care Centres will close another critical service gap in our mental health system, ensuring young people in what mental health experts call “the missing middle”, get the specialist help they need.
 
Filling “the missing middle” service gap means young people with complex mental health needs, like personality disorders, eating disorders and early psychosis, can get the ongoing and intensive care they need, outside of hospital.
 
As we expand the range of free services backed by Medicare, the Medicare Mental Health phone line (1800 595 212) and website (medicarementalhealth.gov.au) will help Australians find the free service that is right for them.
 
This package builds on the Albanese Labor Government’s existing work to roll out free mental health care:

  • Establishing the new National Early Intervention Service from 1 January 2026, which anyone can access for free mental health support. Approximately 150,000 Australians are expected to use the service each year, getting free support early, without waiting for a referral or being worried about a gap fee.
  • Establishing 61 Medicare Mental Health Centres that offer free walk-in mental health care.  We are upgrading their clinical capability to ensure every centre provides free access to a psychiatrist and psychologist, either on-site or on-call.
  • Established 12 Perinatal Mental Health Centres to provide support to new parents.
  • Expanded the headspace network to more than 175 centres.
  • Restored the bulk billed telehealth psychiatry Medicare rebates so Australians living outside metropolitan areas get equal access to clinical mental health support.
  • Expanded the mental health workforce with more than 4,000 psychology scholarships, internships and training places.

Providing more free, public mental health services for Australians with different levels of need will help to relieve pressure on the subsidised services provided by private psychologists.
 
It will take pressure off the Better Access program, support psychologists to work to their full scope of practice and spend more time treating people with moderate and high needs.
 
This is in stark contrast to Peter Dutton’s plan to increase demand for private psychologists’ services, which will drive up gap fees and make wait lists longer.
 
Consistent with past practice, election commitments will be delivered in line with Commonwealth Grants Rules and Principles.

As at 8 April 2025.