The village provides local older residents with more opportunities to receive the individual care they need in their local community, Ms Bishop said.

Run by the Royal Freemasons Benevolent Institution of NSW, the complex now offers 91 residential beds, including 41 places transferred from the former Kurri Nursing Home in September last year and an additional 10 places completed this month. The places comprise a mix of high and low care places, and 13 places specifically to care for people living with dementia.

Two dedicated places will provide a total of 730 respite days a year to enable local residents caring for an older person to take a break from their caring role, while their loved one is receiving high quality care in this local home.

"The Masonic Village is an example of the innovative, flexible and comprehensive services that older Australians and their families will increasingly need and choose, particularly as our population ages," Ms. Bishop said.

"The opening of these new places follows the announcement of 380 new residential places and community care packages to be allocated to the Hunter Region this year. They are part of an estimated 800 new aged care places to be allocated to the region over the next three years."

"I welcome Masonic Village's commitment to dementia and respite care. This complements the Australian Government's Budget initiatives, including $320 million to provide more research, education and support for people with dementia, their families and carers."

"In the 2005 Federal Budget the Australian Government also increase significantly funding for respite, which enables carers to take a break from their caring role, by providing an additional $227 million for extra respite services.

"Through its partnership with organisations such as the Royal Freemasons Benevolent Institution of NSW the Australian Government is realising our vision for a world class system of aged care that provides high quality, affordable and accessible services to meet the individual needs and choices of older Australians," she said.