Medicare Guarantee (2025-26 Credit to Treasury Special Account) Determination (No. 1) 2025
I, Andrew Leigh, Assistant Minister for Competition, Charities and Treasury, make the following determination.
Dated 26 March 2025
Dr Andrew Leigh
Assistant Minister for Competition, Charities and Treasury
Parliamentary Secretary to the Treasurer
Contents
Part 1—Preliminary
1 Name
2 Commencement
3 Authority
4 Definitions
Part 2—Determination of amount to be credited to the Medicare Guarantee Fund (Treasury) Special Account in relation to 2025-26
5 Amount to be credited to the Treasury Special Account
Part 1—Preliminary
1 Name
This instrument is the Medicare Guarantee (2025-26 Credit to Treasury Special Account) Determination (No. 1) 2025.
2 Commencement
(1) Each provision of this instrument specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.
Commencement information |
Column 1 | Column 2 | Column 3 |
Provisions | Commencement | Date/Details |
1. The whole of this instrument | The later of: (a) day after this instrument is registered; and (b) 26 March 2025. | |
Note: This table relates only to the provisions of this instrument as originally made. It will not be amended to deal with any later amendments of this instrument.
(2) Any information in column 3 of the table is not part of this instrument. Information may be inserted in this column, or information in it may be edited, in any published version of this instrument.
3 Authority
This instrument is made under the Medicare Guarantee Act 2017.
4 Definitions
Note Expressions have the same meaning in this instrument as in the Medicare Guarantee Act 2017 as in force from time to time—see paragraph 13(1)(b) of the Legislation Act 2003.
In this instrument:
the Act means the Medicare Guarantee Act 2017.
Part 2—Determination of amount to be credited to the Medicare Guarantee Fund (Treasury) Special Account in relation to 2025-26
5 Amount to be credited to the Treasury Special Account
Under subsection 7(1) of the Act, $52,000,000,000 is specified as the amount to be credited to the Medicare Guarantee Fund (Treasury) Special Account on 1 July 2025 for the budget year beginning on 1 July 2025.
Note: The Medicare Guarantee Fund (Treasury) Special Account is established by section 6 of the Act.
Overview
The Medicare Guarantee (2025-26 Credit to Treasury Special Account) Determination (No. 1) 2025, enacted by Dr. Andrew Leigh, the Assistant Minister for Competition, Charities and Treasury, establishes the amount to be credited to the Medicare Guarantee Fund (Treasury) Special Account for the 2025-26 budget year. This instrument was made under the Medicare Guarantee Act 2017 and commenced on 26 March 2025, the later of the day after its registration or that date. The primary objective of this determination is to ensure that $52 billion is allocated to the Medicare Guarantee Fund to maintain the financial stability of Australia's healthcare system, reflecting the government's commitment to providing adequate healthcare funding as stipulated in the Medicare Guarantee Act. This allocation is crucial in addressing the gap left by insufficient funding and ensuring that the Medicare system remains robust and accessible to all Australians.
Scope and Application
The Medicare Guarantee (2025-26 Credit to Treasury Special Account) Determination (No. 1) 2025, made under the authority of the Medicare Guarantee Act 2017, specifies that a credit of $52 billion is to be made to the Medicare Guarantee Fund (Treasury) Special Account on 1 July 2025 for the budget year commencing on that date. The Act applies to the operations and financial arrangements of the Commonwealth of Australia, ensuring that the specified amount is allocated to the Medicare Guarantee Fund as required by law. The determination is intended to maintain the integrity and funding of the Medicare system, ensuring that the Medicare Guarantee Fund is adequately provisioned for the financial year in question. The instrument's provisions, including the credit amount, become effective on the later of the day after the instrument is registered or 26 March 2025. The determination does not specify any exclusions, exemptions, or thresholds beyond the stated credit amount and the commencement details.
Key Provisions
The Medicare Guarantee (2025-26 Credit to Treasury Special Account) Determination (No. 1) 2025 specifies the amount to be credited to the Medicare Guarantee Fund (Treasury) Special Account for the 2025-26 budget year. According to section 5 of the instrument, $52,000,000,000 is to be credited to this special account on 1 July 2025. This determination is made under the authority of the Medicare Guarantee Act 2017 (section 3), and it comes into effect on the later of the day after the instrument is registered or 26 March 2025 (section 2). The definitions and expressions used in this instrument align with those in the Medicare Guarantee Act 2017.
The Medicare Guarantee (2025-26 Credit to Treasury Special Account) Determination (No. 1) 2025 imposes obligations on the entities involved in the management of the Medicare Guarantee Fund. Specifically, it requires the crediting of a specified amount, $52,000,000,000, to the Medicare Guarantee Fund (Treasury) Special Account. This action is mandated by subsection 7(1) of the Medicare Guarantee Act 2017, which this instrument seeks to implement. The determination also stipulates that the fund must be credited on 1 July 2025, aligning with the start of the budget year. The entity responsible for executing this crediting must adhere to the precise timing and amount outlined in the instrument to ensure compliance with the legislative requirements.
Breach of the requirements set out in the Medicare Guarantee (2025-26 Credit to Treasury Special Account) Determination (No. 1) 2025 may lead to civil or criminal consequences, depending on the nature and intent of the breach. Under the Medicare Guarantee Act 2017, failure to credit the specified amount to the Medicare Guarantee Fund (Treasury) Special Account on the mandated date could result in penalties. The Act does not specify the exact penalties in this determination, but breaches of similar legislative instruments typically incur fines or other financial penalties. Additionally, if the breach is deemed wilful or negligent, it may attract more severe consequences, including criminal charges. The specific penalties are not detailed in this instrument but would be determined by the courts in the context of a breach case.