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Building the health infrastructure our growing State needs

26 August 2021

Jeremy Rockliff MP

Minister for Health


The Tasmanian Liberal Government is delivering our plan to build modern health infrastructure that will provide the very best facilities and equipment to care for patients, as we secure Tasmania’s future.

The 2021-22 Tasmanian Budget allocates around $524 million over four years in capital investment, including for significant redevelopments at our major hospitals, much needed mental health projects and important regional and rural facilities.

We are delivering $215.5 million across the Royal Hobart Hospital, including Stage 2 redevelopments, which includes the expansion of the emergency department and intensive care unit. The expansion is part of a new 30-year masterplan for the RHH precinct, with detailed design work to deliver new facilities to meet future demand.

Major redevelopments are also supported in the North with $66.5 million towards the Launceston General Hospital Redevelopment Stage 1. An additional $12 million will enable the commencement of a Mental Health Precinct as part of Stage 2.  This important project represents the initial works associated with the next stage of the LGH redevelopment masterplan which is a 10-year project.

In the North-West, $41.1 million is being invested in Mersey Community Hospital upgrades.  In addition to theatre redevelopments, there’s funding for a new ward to increase bed capacity and for a new kitchen.

Major works are also planned for the North West Regional Hospital. These include $20 million towards total funding of $40 million for Stage 1 of a new Mental Health Precinct adjacent to the NWRH to replace the ageing Spencer Clinic. This new contemporary facility will be a hub for the delivery of integrated mental health services, enabling safe and therapeutic, recovery-oriented care in the North-West, with Stage 1 expected to be completed in 2025-26.

Our hospitals will be further supported with a statewide $20 million fund to replace and upgrade critical hospital equipment.

Stage 2 of the Kingston Health Centre will deliver more community health facilities for the growing region, with $10 million allocated in the 2021-22 Budget, as part of the total $30 million. There is also funding for upgrades to the Midland Multi-purpose Health Centre and Dover Medical Centre, and towards new helipads at the Esperance Multi-purpose Centre and St Helens District Hospital to boost our aeromedical capabilities.

We are also delivering on our commitments to increase mental health capacity with $17.4 towards the completion of 27 new mental health beds across the Peacock and St Johns Park sites, and $10 million for the St Johns Park Eating Disorders Treatment Centre. Works at the Peacock Centre started in March 2021 and works at St Johns Park are due to commence in February 2022.

The Tasmanian Liberal Government is taking a holistic approach to healthcare delivery to secure Tasmania’s future by providing the right care, in the right place at the right time. This includes community services, as well as acute, and our infrastructure program is an important part of delivering on our plan.