Huge cuts to national disability insurance scheme aim to save more than $36bn in budget’s largest single measure
Summary
The Australian government plans to save $36.2 billion over four years by slowing the growth of the National Disability Insurance Scheme (NDIS). Changes will limit who can access the program and reduce payments, aiming to support people with the most significant disabilities while keeping costs manageable.Key Facts
- The government expects to save $36.2 billion by limiting NDIS growth over the next four years.
- NDIS currently supports over 760,000 Australians with disabilities.
- Payments to participants are projected to decrease by at least $37.8 billion until 2030.
- The scheme’s growth target will be reduced to 2% per year to avoid costs exceeding $100 billion by the mid-2030s.
- The National Disability Insurance Agency will reduce staff by 669 next year, but the NDIS Quality and Safeguards Commission will add nearly 200 staff.
- Participant numbers are expected to drop to about 600,000 by 2030 from a forecast of 900,000 without changes.
- New rules will reduce unscheduled reassessments, a major cause of spending growth.
- A new assessment tool will standardize eligibility starting January 2028.
- Non-NDIS programs for those no longer eligible will receive $3 billion over five years, matched by states and territories.
- The Thriving Kids program for young children with autism and developmental delays will begin rolling out from October and be fully operational by January 2028.
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