The $1B commitment continues the Federal 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 $1B mental health commitment includes:
• $225M for 31 new and upgraded Medicare Mental Health Centres.
• More than $200M for 58 new, upgraded or expanded headspace services.
• $500M for 20 Youth Specialist Care Centres for young people with complex needs.
• $90M 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.
Assistant Minister for Mental Health and Suicide Prevention Emma McBride said: “Labor introduced Medicare, and we are making sure mental health care and free services are at the heart of communities.
“All Australians deserve access to quality care, close to home. That’s why we're expanding the network of free services right across the country, including in regional and remote Australia, better matched to people's needs.
“As a former mental health worker, I am determined to make sure that all Australians receive the care they need and deserve.”
Carolyn Nikoloski, CEO, Mental Health Australia said: “This is a landmark investment that recognises the challenges the community is facing.
“Mental Health Australia welcomes this comprehensive package, that will fundamentally increase access to free mental health support across the country.
“It also responds to some of the real pressures the sector is facing, by growing the pipeline of the mental health workforce, so that we can better respond to the community’s mental health needs, both now and into the future.”
