Australian Healthcare System: Financial Structure, Performance and Challenges

Running head: AUSTRALIAN HEALTHCARE SYSTEM
AUSTRALIAN HEALTHCARE SYSTEM
Name of Student:
Name of University:
Author’s Note:

AUSTRALIAN HEALTHCARE SYSTEM
1
Executive summary
The main aim of the report to is evaluate the financial structure of health care system of Australia
by comparing it with other OCED countries which includes United Kingdom and Unites States.
The health care system of Australia is spends its 8.5% of the total GDP in providing health
service, which is low when compared to United Kingdom and Unites States health care system.
The main funding body of health care system of Australia is both governmental and non-
governmental body. On comparison with financial structure of United Kingdom and Unites
States, it was known that in some measures they are good like in number of equipment and
number of surgeries. However, it was also evaluated that due to poor investment strategy, high
rate of obesity in Australia and low number of physician are major challenge faced by the health
care system.

AUSTRALIAN HEALTHCARE SYSTEM
2
Table of Contents
Introduction......................................................................................................................................3
Comparison of the financial structure of the Australian healthcare system....................................3
Comparison of performance of Australian health care system with other OCED countries...........4
Performance measure of Australian healthcare system...................................................................5
Financial implication for Australian healthcare system..................................................................6
Challenges faced by the Australian healthcare system....................................................................6
Recommendation.............................................................................................................................7
Reference.........................................................................................................................................9

AUSTRALIAN HEALTHCARE SYSTEM
3
Introduction
The primary aim of the report is to compare and contrast the Australian healthcare system
to the health care system of the United States and the United Kingdom. The report includes, the
performance and financial structure of the Australian healthcare system, its financial implication,
and challenges in providing equitable access to care and recommendations for improvement of
the Australian healthcare system.
Comparison of the financial structure of the Australian healthcare system.
Health care system of Australia is funded by the Australian government and territory
government through Medicare which accounts for 67%. However, it is also funded by another
level of government like NGO, private health insurance or individual. Australia's health system
is supported by Medicare that is funded by governmental body by mean of taxation and 2%
Medicare levy (Health expenditure Australia, 2017). By contrast United Kingdom, the health
care system is funded by the separate parliament and government in collaboration with private
sector and voluntary provision of each countries (Stockdale et al., 2017). However, United States
health care system is subsidized by the combination of payroll taxes, federal general revenue
through Medicare (Papanicolas, Woskie & Jha, 2018). The health care system of UK is known as
National Health Service are funded by general taxation. It is known to spend 8.5% of GDP in
health sector (Wiysonge et al., 2017). However, Australia spends 10.3% of GDP and US is
among the highest rank to spend 11.6% of GDP in health care system. In the year 2013-2014 the
health budget was £110 billion in which 64.9% was spend in health service (Health expenditure
Australia, 2017). It is evident from the report of 2015-2016 that Australia, $170 billion was
invested in health care in which 67% was levied by government and 33% by the NGO. 17% of