Prime Minister Kevin Rudd's campaign to reform the health system has suffered another setback, with NSW demanding more money in exchange for its support.
The NSW Government convened a special cabinet meeting to determine whether to accept or reject the offer, which includes $3 billion for emergency departments, elective surgery, diabetes care, aged care and doctor training.
NSW Premier Kristina Keneally has emerged from the meeting and announced cabinet supported 90 per cent of the reforms.
She wanted more negotiation on three areas including an estimated $686 million to implement the reforms, extra funding to address rising demand for services over the next four years and guaranteed new federal funding after 2014-15.
"I will not sign up to a deal that disadvantages NSW taxpayers. There is nothing to gain with a 'my way or the highway' approach. We must work together for the families of NSW and Australia," Ms Keneally said.
Victoria and Western Australia are also prepared to reject the plan unless the Commonwealth offers more funding.
Mr Rudd wants state and territory leaders to endorse his plan at the Council of Australian Governments' meeting in Canberra on Monday.
"I think that a whole lot of premiers will want to act in the national interest but I can't guarantee that all will,'' Mr Rudd said yesterday as he reiterated there would be no "blank cheques'' for states and territories.
If premiers and chief ministers reject his plan, Mr Rudd would hold a referendum and seek a mandate from voters.
Source: The Canberra Times
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