The Federal Government has responded to the desperate pleas of Australia’s mental health service providers, extending their funding to the tune of $300 million.

Groups from around the nation were forced to raise their collective voice after Government indecision and uncertainty threatened jobs and futures in the sector.

It put the vital services provided to thousands of Australians at risk too.

Minister for Health Sussan Ley said the Government’s 12 month extension – worth almost $300 million – would allow frontline services to continue to be delivered while work progressed on the current Mental Health Review.

But the Health Department appears likely to seek savings of some sort.

“This review will allow Government to form long term plans to ensure our high-quality mental health services continue to provide the right care, at the right time in the right setting,” Ms Ley said.

“However, most people also recognise that to achieve this, improvements need to be made in the way mental health is organised and funded in Australia and it’s important this opportunity for positive reform isn’t rushed.”

The sector has responded with cautious optimism.

St Vincent’s Health Australia says the funding renewal will return “significant certainty” to the sector, but that there are long term issues that will need to be faced.

“Given the undisputed level of unmet demand, we believe there’s a strong case for increasing funding, particularly for services with demonstrated impact,” said St Vincent Health’s CEO Toby Hall.

“As the Minister turns her mind to the long-term, she should recognise that at the very least the Commonwealth needs to maintain its current levels of investment in mental health.”