Cook Government facing eye-watering $400 million health budget blowout for Peel Health Campus redevelopment

The State is facing a potential $400 million health budget blowout, with the Government told that redevelopment of Peel Health Campus in Mandurah could cost more than three times the original quote.

Documents obtained by The West Australian mark the project’s budget status as red for “off track”, and the forecast practical completion date as “to be confirmed” — five years after the major upgrade was announced.

“Cost far exceeds the $152 million initially estimated in 2020,” the budget commentary states.

“The 2024 Redevelopment Business Case estimated PHC redevelopment costs to be approximately $558 million.”

The document flagged a request for “alternative staging and sequencing” to be considered.

And it said there was a “high risk” of further “significant” program schedule delays.