Tens of thousands of terminally ill Australians are dying in hospitals when they would rather be dying at home, a highly critical Productivity Commission report has found.

A wide ranging inquiry into ways to introduce competition and informed user choice into human services has found that most people want to die in surroundings that are familiar to them, surrounded by their family. Instead they are often rushed to hospital, even though it would be cheaper and more dignified to treat them where they lived.

“Aged care facilities are Commonwealth government funded and the Commonwealth considers palliative care a state funding issue, so aged care facilities receive very little funding for palliative care,” inquiry chairman Stephen King explained.

“It means that if you are in an aged care facility, and you are getting towards the end of life and need an intervention, you will most likely be popped in an ambulance and sent off to hospital.”

“Western Australia is the gold standard. It does state-funded well. Nurses visit homes and family members help with the care. It’s cheaper to set up in homes than in capital-intensive hospitals. After Western Australia it goes rapidly downhill. It wouldn’t be hard for all states to do as well as Western Australia and for the Commonwealth to fund palliative care in nursing homes.”