Melbourne's Royal Children's Hospital handed $66m funding boost

The Victorian government has committed an extra $66 million to staff 20 new beds at Victoria's leading children's hospital after a funding stand-off threatened to leave them sitting empty.

The new beds were promised under a $55 million upgrade to the Royal Children's Hospital in 2018 and were set to open in November this year.

Last month, hospital sources told the ABC the beds would not be used because there was no funding for staff.

Staff told the ABC they were devastated, with signs posted around the emergency department as part of protected industrial actions amid ongoing pay negotiations.

A letter from an emergency department manager sent to staff at the time said the state government had rejected a funding request for staff to operate the new beds, and lamented that the hospital had battled under-resourcing for years.

When approached for comment on the issue at the time, the government did not answer specific questions about the funding issue, saying it was working with the hospital.

After the issue became public, the state government denied it had rejected the funding request.

The government has now pledged an additional $66 million to fund 85 extra full-time equivalent nursing positions, including up to 25 graduate nurses.

The government has promised that the new beds will be staffed with nurses and ready to treat kids from when they open, now in December.

Premier Ben Carroll said the new beds would mean an extra 13,000 children could receive the emergency care they needed from "the best team in the world".

"Working people need a strong, free health system — and our kids deserve the best care," he said.

Health Minister Ingrid Stitt said every additional bed would open from day one.

The new treatment area will include new cubicles, short-stay beds and fast-track bays, the government said, along with a new procedure room where minor procedures can be performed without admission to a ward.

The emergency department already treats about 90,000 patients a year but has fewer staff than equivalent facilities, according to Australian College of Emergency Medicine figures.

A poster displayed in the ED last month apologised to patients for the "long wait", explaining that an average ED of the same size has 50 per cent more doctors, 40 per cent more nurses and 60 per cent more beds.