Ahead of the 2026-27 Federal budget, The Australian Physiotherapy Association (APA) has released its pre-budget submission, calling on the Federal government to enact changes which increase the role of physiotherapy across the health system.

Australia’s health system remains overburdened, and physiotherapy offers evidence-based, cost-effective interventions that are ready to help the government deliver on its reform ambitions by strengthening care, improving outcomes and delivering greater value.

The APA’s pre-budget submission highlights four priority reforms and supporting actions to strengthen the health system and deliver meaningful change. These include:

Unlocking access: Expanding frontline capacity by integrating physiotherapy-led models into multidisciplinary primary care teams. Early intervention, stronger prevention and non-surgical pathways reduce hospital demand. Improving access to physiotherapy lifts patient outcomes, eases pressure on acute services and ensures evidence‑based care is available where it is needed most.

Restore and protect: Fixing the NDIA pricing so it reflects the true cost of care. Restoring access to essential physiotherapy and protecting Scheme sustainability ensures people with disability receive the care they need.

Funding for equity: Physiotherapy is vital in aged care, veterans’ health, rural and First Nations communities, priority populations that continue to miss out on early intervention to restore function, protect independence and reduce long-term costs.

Market stability: Physiotherapists play a critical role in sustaining stable markets and need funding that reflects the complexity of their work, the skill it requires and its central place in patient care.

‘The 2026-27 Federal budget provides an opportunity for this government to invest in smarter, more connected health care with better outcomes and at sustainable cost,’ said APA National President Dr Rik Dawson.

‘As it stands today, the Australian health system remains in a state of perpetual strain, with overloaded health services, delays in care and preventable surgeries remaining far too common,’ said Dr Dawson. ‘The result, in many cases, is poorer outcomes for patients and ballooning costs for the broader system.’  

Musculoskeletal conditions alone cost the Australian health system an estimated $16.3 billion each year. Injuries from falls ($5.4 billion), osteoarthritis ($4.8 billion) and back pain and problems ($4.0 billion) account for more spending than any other disease group. Chronic pain often pushes people into hospital, especially those already living with multiple long-term conditions, and, when physiotherapy is hard to access, many end up relying on opioids, recovering more slowly and experiencing poorer outcomes.

‘Greater funding for and access to physiotherapy across the health care system can change this.’

‘Physiotherapists keep people mobile, reduce their pain, restore function and prevent decline,’ said Dr Dawson. ‘But as the system works today, in many cases patients must wait until they reach hospital to access a publicly funded physiotherapist, only increasing strain on the system.’

‘Physiotherapy provides effective intervention across the care spectrum, capable of delivering prevention, early intervention and rehabilitation.’

“By funding physiotherapy in primary care and enabling people to access timely musculoskeletal care from a physiotherapist as a first point of contact, without referral or out-of-pocket costs, we can keep people out of emergency departments and off surgical waitlists, easing pressure on Australia’s already overburdened hospitals,” said Dr Dawson.

‘Our pre-budget submission provides a pathway for achieving this, aligning policy and funding across the health care system to strengthen primary care, reduce hospital demand and improve access for people living with chronic conditions, pain and disability.’

Read the APA’s full pre-budget submission here. 

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