Calvary Expands Maternity Team as Healthscope Exits Hobart Private Services

A major overhaul of private maternity services in southern Tasmania is underway following the upcoming closure of childbirth facilities at Hobart Private Hospital. Calvary Lenah Valley Hospital is rapidly boosting capacity to fill the impending service gap by mid‑August 2025.

From 350 to Nearly 900 Births Per Year

Currently, Calvary handles around 350 babies annually. After Healthscope confirmed it will terminate maternity operations at Hobart Private in August—responsible for approximately 500 births each year—Calvary launched a transition project in June to raise its delivery capacity to nearly 900 births per year. This plan details upgrades to infrastructure, staff growth, and equipment procurement to support the expansion.

Tackling Workforce Shortages

One of Tasmania’s biggest challenges has been a shortage of midwives. Calvary reports having successfully recruited about 80% of the midwives displaced by Hobart Private Hospital’s closure, including four new clinicians starting on June 1, two visiting obstetricians beginning in mid‑June, and additional midwives joining the team. Calvary’s clinical leadership confirms staffing levels will meet demand and has exceeded expectations in the recruitment campaign.

Infrastructure Upgrades Underway

To support its larger capacity, Calvary has refurbished one of its delivery suites, reconfigured its maternity ward, and commissioned a new special‑care nursery. Additional birthing beds and monitoring equipment are being installed, with much of the work completed without disrupting existing operations.

Financial Backing for a Smooth Transition

In late February 2025, the federal government pledged AUS $6 million to bolster Hobart’s maternity services across both public and private sectors. The funding will support facility enhancements at Calvary Lenah Valley, Royal Hobart Hospital (expanding bed capacity from 29 to up to 34), and the establishment of a Mother & Baby Unit at St John’s Park in New Town.

Health Minister Jacquie Petrusma emphasised the joint effort between state and federal governments to ensure mothers have a choice in maternity care settings. Federal Health Minister Mark Butler echoed concerns about private sector sustainability and urged private insurers and private hospitals to cooperate to ensure long‑term viability .

Societal and Sector Reactions

The Australian Medical Association has praised Calvary’s proactive steps but stressed the need for immediate reforms and proper funding to ensure the sustainability of private maternity care in Tasmania. The AMA called this case a broader warning sign about pricing and insurer practices that may threaten service availability elsewhere.

Catholic Health Australia also welcomed federal funding, warning that private hospitals often abandon essential services like maternity when they don’t yield sufficient profits. CHA urged policymakers to design structural reforms—including national pricing models—to prevent such disruptions.

Leading obstetricians have similarly voiced concern, urging more financial and policy support to enable Calvary to handle the demand spike without compromising clinical standards. They underscore the need for collaboration between government bodies, insurers, and hospitals to avoid overburdening public systems.

A key logistical issue raised by providers and patient advocates is the availability of hospital-affiliated accommodation for expectant mothers, particularly those travelling from regional areas or requiring pre- or post-natal observation. Without access to affordable and appropriate hospital stays, patients may face delays or be forced to shift to already stretched public services, undermining the continuity of private maternity care.

Looking Ahead

The transition is scheduled to conclude by August 20, with Calvary becoming southern Tasmania’s sole private maternity provider by August 28. If successful, the move will ensure continuity of private obstetric care and avoid overloading public hospitals.

However, experts caution that the success of this shift depends on sustained workforce stability, insurer support, and continual investment in facilities. The Tasmanian experience is being watched closely, as it may signal necessary reforms for private maternity care sustainability across Australia.