The expansion of the Princess Alexandra Hospital, intended to deliver approximately 249 extra beds, is being closely monitored as Queensland grapples with significant cost escalations and potential delays across a large-scale hospital expansion program.
The Queensland government’s Capacity Expansion Program (CEP), initially cost $9.78 billion, now faces significant financial pressures, but the Health Minister has confirmed the projects will continue.
Statewide Project Costs Rise

The Queensland government’s Capacity Expansion Program (CEP), initially set at $9.78 billion to provide 2,200 additional hospital beds by 2028, has encountered substantial financial challenges.
The program, launched in 2022 by the previous government, encompasses constructing new hospitals in Bundaberg, Toowoomba, and Coomera, expansions at 11 existing hospitals, and a new Queensland Cancer Centre. The current government has indicated that the total cost could reach $16 billion, prompting an independent review initiated late last year.
Princess Alexandra Hospital Expansion in Context

The planned expansion of the Princess Alexandra Hospital, aiming for 249 additional beds, forms part of this larger state-wide program. Like other projects in the CEP, the expansion is now subject to revised funding assessments and project reviews. The health minister indicated that the previous government had delayed all CEP projects.
The current government has stated that it is now looking at what is needed to allocate the funding to complete these projects, including the Princess Alexandra Hospital.
Funding and Project Reviews
The Health Minister stated that the previous government did not fully fund the projects included in the CEP. The independent review is now assessing the projects, including the Princess Alexandra Hospital expansion, to determine the necessary funding and timelines. The government has committed to delivering the required hospital beds across the state, but the increased costs and existing delays present significant challenges.
Published Date 25-March-2025
