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From 1 July 2027, DVA fees are increasing for a broad range of allied health providers.
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From 1 July 2027 there will be a cap of $5,000 on allied health treatment, with a mechanism to apply for more funding where there is a valid clinical need.
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Consultation with key stakeholders on these arrangements will occur in the second half of 2026.
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PAMT will be extended until 31 December 2027.
The Australian Government handed down the 2026-27 Federal Budget on 12 May 2026, including further investment in the veteran support system to deliver on recommendations from the Royal Commission into Defence and Veteran Suicide.
For health providers, the measures reinforce DVA commitment to timely access to care, fair and sustainable funding arrangements and practical supports to deliver clinically appropriate care to veterans and families of veterans.
Investment in allied health provider fees
A key measure for health providers is the Government’s investment of $169.7 million over five years (and $58.8 million per year ongoing) to increase allied health provider fees for Veteran Card holders from 1 July 2027.
This is the largest investment in veteran allied health provider fees in more than 20 years and responds to Recommendation 71 of the Royal Commission and feedback from providers about the challenges of delivering care under existing fee arrangements.
The increase will apply to a broad range of allied health services, including chiropractic, diabetes education, dietetics, exercise physiology, occupation therapy, orthotist, osteopathic, physiotherapy, podiatry, psychology, social work, and speech therapy services. It does not include dental, optical or hearing services, or medical or specialist services.
Psychology and counselling services delivered through Open Arms do not count towards the $5,000 annual limit.
Alongside this change, a new $5,000 Annual Monetary Limit will be established from 1 July 2027, that Veteran Card holders can spend on allied health services each financial year, based on their individual treatment requirements. This will ensure veterans can access the treatment they need and reduce current overservicing that is occurring in some cases.
A mechanism will be established for DVA to consider funding allied health services for veterans above their $5,000 package where there is a valid clinical need. The design of this arrangement is underway.
During the next 12 months, DVA will consult with veterans, families of veterans, health providers and peak bodies, and ex-service organisations on how the new arrangements will operate.
Provisional Access to Medical Treatment (PAMT) program extended
The Budget also includes $3.4 million over two years to extend the Provisional Access to Medical Treatment (PAMT) program to 31 December 2027.
PAMT enables eligible veterans to access DVA‑funded medical and allied health treatment for the 20 most commonly claimed conditions while they are awaiting a liability decision on their claim.
Detailed information about eligibility, referrals and claiming under PAMT is available on the DVA website.
To find out more about the 2026-27 Budget measures, please visit the Budget 2026-27 webpage.