Newcastle Councillors Demand End to Mater Hospital PPP Amid Mould Scandal
Three Newcastle councillors have issued a strong call for the termination of the public-private partnership (PPP) between Calvary Mater Newcastle hospital and the New South Wales government. The councillors, Siobhan Isherwood, Joel Pringle, and Charlotte McCabe, all members of the Greens party, are urging the city council to advocate for ending the PPP due to ongoing maintenance issues, including mould, maggots, and water damage.
Motion to Address Maintenance Failures
In a notice of motion set for discussion at an upcoming council meeting, the trio has requested that councillors support writing to Health Minister Ryan Park and Wallsend MP Sonia Hornery. The motion explicitly calls for the Mater's PPP with Novacare to be terminated and for maintenance responsibilities to be returned to public hands. Cr Isherwood described the situation as "heart-wrenching", highlighting reports from a parliamentary inquiry that reveal neglect and cover-ups despite advocacy from hospital staff.
"Our nurses, doctors, and all hospital staff deserve so much better than this," Cr Isherwood stated, emphasizing the impact on healthcare workers. The notice of motion notes that public concerns about mould, maggots, and water damage have been raised since at least 2025, with earlier issues reported to government MPs in 2023, including Newcastle MP Tim Crakanthorp in May 2024.
Political Responses and Inquiry Details
Mr. Crakanthorp's office confirmed that an issue was raised around that time but claimed it was resolved. The parliamentary inquiry into the matter was pushed by the Coalition and passed the NSW upper house in February, with support from the Greens, while Labor voted against it. Mr. Crakanthorp and Ms. Hornery did not vote as they are members of the lower house.
Ms. Hornery, whose electorate includes the Mater hospital, expressed clear opposition to privatisation, stating, "The public-private partnership is not working." She reported that the health minister's intervention has led to essential cladding work beginning at the hospital after private contractor Honeywell refused to perform the tasks. A Honeywell spokesperson argued that replacing cladding and the HVAC system was beyond their maintenance contract scope.
Whistleblower Allegations and Broader Context
At the inquiry, whistleblower Luke Carroll accused Honeywell of falsifying records, shredding documents, and intimidation related to maintenance failures. Cr Isherwood drew parallels to the Northern Beaches Hospital, where a PPP was ended after systemic failures, noting that similar conflicts between private profit and patient care have emerged at the Mater. She urged Minister Park to acknowledge these failures and terminate the PPP.
Minister Park has repeatedly stated he does not support PPPs in healthcare but indicated the Minns government has not yet decided to end the Mater's PPP, saying, "We're not at that point yet." The Mater operates under a PPP between Novacare and NSW Health's Health Administration Corporation, with Honeywell, part of the Novacare consortium, responsible for maintenance.
This ongoing scandal underscores significant challenges in healthcare privatisation, with councillors and MPs advocating for a return to public control to ensure patient safety and staff welfare.
