23-04-2025
Delivery of hundreds of new Queensland regional hospital beds face delays
Hundreds of beds slated for two new regional Queensland hospitals and other health-related projects are facing significant delays due to spiralling costs, an independent review has found.
The Sangster Review,
Health Minister Tim Nicholls said none of the projects proposed under Labor, including the 741 new beds planned for regional Queensland, would have been deliverable across multiple sites by the 2028 deadline.
Rethinking plans
In light of the review the government has confirmed it will redesign and replan the new hospital sites at Toowoomba and Bundaberg.
The major revamp comes after the former government had given the green light to optimise a dual campus setting for both Toowoomba and Bundaberg, which would have utilised existing infrastructure at the old sites in addition to new facilities.
In Toowoomba the new hospital project at the Baillie Henderson site is still slated to deliver 118 new beds, but all services from the old hospital will now be moved to the new site.
The review found the original Toowoomba project's plan to operate two hospital sites would have cost taxpayers an extra $400 million per year, excluding ongoing maintenance to keep the old CBD site safe and functional.
In Bundaberg the government rejected the recommendation to pause early site works, instead opting to create a new plan to transfer all services and beds to the new site, including more than 410 beds and bed alternatives.
The government will reassess its plans for the new Bundaberg Hospital.
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ABC News: Johanna Marie
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The review found that maintaining the old hospital site, situated in a flood zone, would have cost up to $200 million per year.
Mir Nicholls said works at the new locations at Toowoomba and Bundaberg will continue.
"There will be two hospitals running for a period of time [at Twooomba and Bundaberg]," he said.
"Obviously we hope to get 75 per cent of services relocated in the first stage, but the prospect of running a second hospital forever — which is what the old plan was — versus having a second hospital running for a shorter period of time and moving them … is a much better outcome."
Queensland Health Minister Tim Nicholls says the government will redesign multiple hospital projects.
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ABC News: Chris Gillette
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'Undeliverable' projects
The review also found the Mackay Base Hospital expansion of 128 extra beds and a new women's health and children's ward for north Queensland was "undeliverable" because the initial plan was underfunded by $270 million.
It found there were design problems including not providing overnight beds for parents and carers in the children's ward.
The report found site conditions, including
Asbestos has been discovered at the Mackay Base Hospital expansion site caused construction delays.
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Supplied
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However, the government rejected the recommendation to terminate the contract with BESIX Watpac saying it would prefer to work with the contractor due to their project knowledge.
Meanwhile at Townsville the government has committed to developing a staged approach to deliver at least 165 more beds for the city.
The Townsville University Hospital expansion plan would only have been deliverable if "substantial amounts of clinical scope" was removed from the budget, which was "clearly problematic" according to the review.
In far north Queensland recommendations to continue with the Cairns refurbishment and develop a new plan for a surgical centre and more beds will be adopted.
Hope for rural support
The Australian Medical Association Queensland said the budget constraints highlighted in the review were concerning.
"Unfortunately the report does indicate that there's a significant portion of costs that does stem from inadequate assessment," president Nick Yim said.
He said the additional beds were important for regional communities.
"We know that there are challenges with bed block and bed shortages, and these can contribute to increased ED wait time and ramping," Dr Yim said.
"So this is really positive now that we have this report and we can utilise it to identify and increase those bed numbers in that region."
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