Natalie Forsyth-Stock, chief executive officer of aged care and disability services provider LiveBetter, says 10,000 new home care funding packages announced by Prime Minister Scott Morrison are welcome, but fall short of alleviating shortages.

According to LiveBetter, only 160 of those 10,000 packages will come to Riverina-Murray, which means only one person in 12 on the waiting list will get help.

Ms Forsyth-Stock said packages were of differing amounts of money, from level one to four. Level one is $8750 a year, while level four provides $50,000 in home care support.

There were 1172 people on the regional waiting list as at the end of June 2019 who had not even been able to access the smallest available - or level one - funding package.

The government's announcement indicates that about 160 new packages will be released in the Riverina Murray, which means one in 12 people on the wait list will get a package, Ms Forsyth-Stock said.

Mr Morrison's announcement, made in response, to the Aged Care Royal Commission's interim report, included $496.3 million for the additional 10,000 home care packages; $25.5 million to improve medication management programs to reduce the use of medication as a chemical restraint, and new restrictions and education for prescribers on the use of medication as a chemical restraint.

He also promised $10 million for additional dementia training and support for aged care workers and providers, including to reduce the use of chemical restraint; and investing $4.7 million to help meet new targets to remove younger people with disabilities from residential aged care.

Ms Forsyth-Stock told The Daily Advertiser that, simply put, more money needed to be ploughed into the aged care sector.

"Clearly there are more people coming onto the waiting list all the time and if you look at the number of people who have been waiting for a level four package - which is the highest - the average wait is 22 months," she said.

"When you think about that, people who need a level four package are the people who have the highest amount of need and, in fact, something like 16,000 people died waiting for any kind of home care package in 2018.

"When you think about somebody who needs in-home support, $8000 doesn't go very far. If you are requiring somebody to come into your house three times a day - and some of our clients do need that - and you think about what that is going to cost per hour, you're not going to get very far.

"These packages are what keep people out of residential aged care."

Junee man John Hunter, a campaigner on pensioner and aged care issues, said problems in the aged care sector are nothing new.

Mr Hunter believes the government should have far greater oversight of aged care, and believes consideration should be given to nationalising the sector.