Police said both women were critically injured when their cars collided at the intersection of Ntaba Road and the Pacific Highway on March 25.

The pair were both taken to hospital while crash investigators examined the scene. The 60-year-old woman, from Chain Valley Bay, was arrested on Saturday and charged with a number of offences, including dangerous driving occasioning grievous bodily harm.

The woman was granted conditional bail and will appear in Newcastle Local Court on July 30.

The 73-year-old woman remains in hospital in a serious condition and is being treated for spinal fractures, head and internal injuries, police said.