Many people are surprised to learn that physiotherapy appointments under a GP Chronic Condition Management Plan (GPCCMP) often include a gap fee.
With the rising cost of healthcare across Australia, many allied health clinics are finding it increasingly difficult to provide high quality care solely within the Medicare rebate. Costs associated with wages, rent, insurance, equipment, compliance, software, administration, and ongoing professional development have all continued to rise in recent years.
Unfortunately, Medicare rebates for allied health services have not increased at the same rate as the true cost of delivering modern healthcare.
What Is a GP Chronic Condition Management Plan (GPCCMP)?
A GP Chronic Condition Management Plan (GPCCMP), previously known as a Team Care Arrangement (TCA) or EPC referral, is a Medicare initiative that allows eligible patients with chronic or complex conditions to access a limited number of allied health appointments each calendar year through a GP referral.
This can include services such as physiotherapy, podiatry, dietetics, exercise physiology, and other allied health professions.
While these plans help reduce out of pocket costs for patients, the Medicare rebate generally only covers part of the consultation fee.
The Growing Gap Between Healthcare Costs and Medicare Rebates
Healthcare delivery has changed significantly over the years.
Modern physiotherapy involves far more than simply providing exercises or short consultations. Quality physiotherapy often includes:
• Thorough assessment and clinical reasoning
• Hands on treatment where appropriate
• Exercise based rehabilitation
• Communication with GPs and other healthcare providers
• Clinical documentation and reporting
• Ongoing professional development and evidence based practice
• Individualised treatment planning
At the same time, clinics continue to face increasing operational costs across staffing, rent, utilities, insurance, software, compliance requirements, and equipment.
Recent industry reports have raised concerns that allied health pricing and government funding models are becoming increasingly disconnected from the actual cost of providing care. A 2025 Australian Physiotherapy Association commissioned review found that many physiotherapy providers considered current pricing structures unsustainable and that pricing was “misaligned with current market conditions and service delivery realities” (Nous Group, 2025).
The same report noted that nearly 30% of physiotherapy providers reported they no longer accept some government funded patients due to financial viability concerns (Nous Group, 2025).
Why Quality Physiotherapy Takes Time
Physiotherapy is not simply about short appointments or passive treatments.
For many conditions, achieving meaningful long term outcomes requires:
- proper assessment
- education
- exercise progression
- movement retraining
- strength development
- ongoing review and modification
Research and industry data continue to show that standard physiotherapy consultations commonly involve around 30 minutes of direct patient care (Nous Group, 2025).
Providing high quality, individualised care within increasingly restricted healthcare funding models continues to be a growing challenge across the allied health industry.
The Challenges Facing Allied Health Providers
Many allied health providers are now facing increasing pressure when delivering services under government funded healthcare models.
The APA commissioned review highlighted concerns around:
- rising staffing and wage costs
- increasing compliance requirements
- growing administrative burdens
- reduced financial sustainability
- underestimation of the true cost of care delivery
The report also found that alternative pricing methodologies suggested sustainable physiotherapy hourly rates significantly higher than some current government linked pricing structures (Nous Group, 2025).
These concerns are not unique to physiotherapy and are being discussed more broadly across the healthcare sector throughout Australia.
Why This Matters for Patients
Access to high quality allied health services is important for helping people manage chronic pain, injuries, mobility issues, post surgical rehabilitation, neurological conditions, and many other long term health concerns.
If healthcare funding models fail to reflect the real cost of delivering care, there are concerns that fewer clinics may be able to continue offering these services sustainably in the future.
For patients, this highlights the importance of understanding that Medicare rebates often contribute toward the cost of treatment rather than covering the full cost of delivering comprehensive physiotherapy care.
Final Thoughts
GP Chronic Condition Management Plans remain an important pathway that helps many Australians access allied health services. However, it is also important to recognise that Medicare rebates often cover only a portion of the actual cost involved in delivering high quality physiotherapy care.
As healthcare costs continue to rise across Australia, the conversation around sustainable allied health funding is becoming increasingly important for both healthcare providers and patients alike.
References
Nous Group. (2025). Review of the 2024–25 APR with respect to physiotherapy. Australian Physiotherapy Association.
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