Counsel assisting the aged care royal commission Richard Knowles said the government's plan to get younger people out of nursing homes will not do enough, soon enough, to fix the problem.

"This problem should not be left to be discussed over the next five to 10 years but should be addressed now as a national priority," Mr Knowles said on Friday.

He said there were urgent policy and service gaps that must be addressed, calling for a committed effort from state, territory and federal governments.

"It requires fresh thinking, dedicated resources and strong will," Mr Knowles said.

"It requires an end to decades of empty rhetoric and blame shifting."

Mr Knowles said there is an obvious and concerning lack of information held by the commonwealth about younger people in aged care, despite a 2015 Senate committee recommending it establish a database.

"This demonstrates that government has failed to prioritise younger people in aged care, despite policy rhetoric that it will do so."

Mr Knowles said the evidence of commonwealth government witnesses to the royal commission's Melbourne hearing suggested there has been a distinct lack of leadership on the issue.

Young People In Nursing Homes National Alliance director Bronwyn Morkham said there has been a complete lack of will by governments and resources to fix the problem.

Dr Morkham said the initiative announced by the federal government in March was a "Clayton's action plan".

"We've got an action plan you have when you don't have a plan at all really - no funding, no measurement, no real targets, nothing in there to say there's a desire to do anything immediately whatsoever," she said.

"I think the action plan has been revealed to be not fit for purpose."

About 2000 people aged under 65 with disabilities or medical conditions are ending up in residential aged care each year, with most sent there on discharge from hospital.

The action plan aims to support the 6000 younger people living in residential aged care to find alternative housing by 2025 and to halve the number entering aged care.

It is based on the National Disability Insurance Scheme supporting younger people to move into specialist disability accommodation provided by the market.

Mr Knowles said the action plan as it was framed accepted that as at 2025, 1000 younger people will still enter aged care every year.

"That is simply not acceptable," he said.

The royal commission's team of lawyers backed the disability discrimination commissioner's call that no younger people should be in aged care at all by 2025.

Australian Associated Press