Even though the population is ageing and using more aged care services than ever, the federal government has confirmed it will spend $165 million less on health care this financial year.

Secretary of the Department of Health and Ageing Jane Halton is ‘conscious’ that less money will be spent as the government strives to balance the budget. The Coalition is asking why.

She told a Senates estimates committee that spending will drop from $61,168 billion in 2011-12 to $61,008 in 2012-13. The same figures show the government expects to spend $520 million less on Medicare services and benefits this financial year, $293 million less on hospital services and $574 million less on health services.

All of which impacts on the money spent on aged care.

When asked to explain the reasons behind the drop Ms Halton asked to take the query on notice.