Mr LLOYD(5.34 p.m.) —I rise today to address the deliberate, disgraceful scare campaign being waged by those opposite against elderly residents over the government's proposed improvements to nursing home accommodation. In particular, I wish to refute a newspaper article appearing in the Sun Weekly today, 6 March, headed `Elderly must sell homes for a bed'. This article went on to say that, according to the member for Shortland, Peter Morris—who I see is not even in the chamber—most older Australians will now be faced with selling their homes to get a nursing home bed.

Since this article went to press, my office has been contacted by distressed elderly constituents who have needlessly been upset by it. The member for Shortland should hang his head in shame for being responsible for creating unnecessary and unfounded concern amongst my elderly constituents. It would be far better if the member acquainted himself with the facts and spent time representing the needs of his own electorate.

Currently most nursing home residents have to share bedrooms and bathrooms with other people. Nearly 40 per cent of residents share a room of four or more beds. In some homes, major upgrading is needed just to meet government fire and safety standards. This is totally unacceptable. Older people have a right to expect good quality accommodation which allows them comfort, dignity and privacy.

The member for Shortland has said that elderly residents will be forced to sell their family home to get care. Nothing could be further from the truth. At present around half of those people who own a home when they go into a nursing home choose to sell it. As most residents will stay in a nursing home for two or three years, this can be a sensible choice. But it will not suit everyone. They will have a wide choice of options and only they can decide which suits them best. The options they can choose from will have quite different effects on their pension, tax and nursing home daily fees.

The government's regulations for accommodation bonds in nursing homes and hostels provide specific protections for the family home. If a spouse is living there, the home will be protected. That means it will not be counted as an asset. A person can only be asked to pay an accommodation bond if both the person concerned and their spouse have other assets over $45,000.

If they have a carer or close family member who has been living in their home for at least five years, and who would qualify for a government pension or benefit, their home will also be protected. They can only be asked to pay an accommodation bond if they have other assets of over $22,500 for a single person.

This means that if they cannot afford to pay an accommodation bond, they will still be able to get a place in a nursing home. The government will ensure that nursing homes and hostels take a set number of people who cannot afford to pay, and will pay a higher subsidy for them. Accommodation bonds, as they will be named, better reflect what they really are—a bond from which the provider can draw down a maximum of $2,600 per annum for a period not exceeding five years to a maximum of $13,000, with the balance to be refunded to the resident or their estate on departure.

The government provides a number of special protections for residents. Concessional residents will not have to pay the bond. Nursing homes and hostels must take people who cannot pay a bond. People will not have to pay before they get a place in a nursing home. Nobody—I repeat: nobody—will be forced to sell their home. There will be measures in place to protect the residents' rights and look after their interests.

Mr Tony Smith —You might have to say it in French; they won't believe you.

Mr LLOYD —Yes. They just want to scare people. An accommodation bond is a bond which is arranged between the resident and the facility. The government takes no part of the bond. When a resident leaves, the bond is refunded to the resident or their estate, less the amount of $2,600 per year up to a maximum of $13,000.

For those who choose to pay a bond, there will be a number of flexible payment options to choose from. People will be able to pay a bond as a lump sum, or an equivalent regular fortnightly or weekly payment, or a combination of both. The member for Shortland and members opposite should acquaint themselves with the true facts, which are outlined in the Department of Health and Family Services fact sheets on this subject, before he or any other member opposite embarks on another one of these disgraceful scare campaigns.