Financial, prudential and governance reviews

Our financial and prudential reviews include prudential reviews (residential aged care and Support at Home providers) and targeted reviews. We use them to raise awareness of provider governance, and financial and prudential responsibilities. This process helps us find ways to educate and support providers.

Prudential reviews

We do prudential reviews with:

residential aged care providers – these reviews help us understand providers’ financial and prudential management practices, liquidity management, investment management and refundable deposit practices
Support at Home providers – these reviews replace our home care package pricing audits from November 2025. They help us understand providers’ financial and price-charging practices.

Who we do prudential reviews with

If you’re a residential aged care provider, we can select you for a prudential review if:

you’re a registered provider
you’re medium sized – with 3-10 residential services
we want a better understanding of how you manage refundable deposits.

We may select you for the review if you are a Support at Home provider in registration category 4 or 5 and:

you have a history of late financial report submissions or
we think the review would benefit you.

Information we ask for during prudential reviews

If you’re a residential aged care provider, we can ask for information about your:

refundable deposits lifecycle
room types, prices and RAD approvals
refundable deposit register
use of refundable deposits for permitted uses
annual reports
information for residents
management of refundable deposit funds
refunding practices
contracts and agreements.

If you’re a Support at Home provider, we can ask for information about your:

service agreements (including any changes or variations)
pricing schedules
communication with people about pricing changes
monthly financial statements
budgets for each of the people you provide care for
older people who chose to stop receiving care from you
price setting
pricing information on your website
care management charges
aged care workers and associated providers
invoices and payment records.

How prudential reviews work

If we select you for a prudential review, we’ll contact you to explain the process. We’ll ask for written documents and records to help us analyse your financial and prudential practices.

There are 4 steps in a prudential review:

You submit to us the documents and records we have asked for
You meet with us to tell us how you manage your financial processes
We analyse your documents and records to decide if you meet your financial and prudential responsibilities
We give you feedback on our assessment of compliance. We also discuss ways you can improve your financial and prudential management practices.

Prudential non-compliance

If we find that in some ways you don’t comply, we’ll support you to comply. We focus on education and managing risk, to help you improve. Together, we agree on a timeframe for you to return to compliance.

We can take regulatory action if you:

avoid your responsibilities on purpose
don’t return to compliance within the agreed timeframe.

Past prudential reviews

Previous prudential reviews we’ve done:

Targeted reviews

We use targeted reviews to focus on a specific issue or on a particular group of providers. Reviews help us assess the sector’s understanding of a financial and prudential obligations. Where we find that a provider is not complying with their obligations, we work with them to address the issue.

When we finish a targeted review, we produce an insights report. This report shares our findings, including common mistakes providers make and things they need to think about.

We do targeted reviews by taking the same 4 steps as for our prudential reviews.

Our current targeted reviews focus on governance.

Past targeted reviews have been about: