Australians with a disability would need to exhaust 'all appropriate' treatment options before becoming eligible for the National Disability Insurance Scheme (NDIS) under strict new entry criteria proposed to curb the program's soaring costs. The changes are expected to be introduced to parliament on Thursday.
New Eligibility Test
The proposed test, set to start in 2028, would require that all appropriate treatments for an impairment have been undertaken, no other treatment is likely to materially improve the condition, and the impairment is likely to be lifelong. Existing participants could be forced off the scheme if they do not meet these requirements.
Cost-Saving Measures
The overhaul, outlined by Health Minister Mark Butler last month, includes standardized assessments, mandatory registration for more provider categories, and new eligibility rules. These measures are forecast to save the federal budget about $36.2 billion through 2030 and reduce participant numbers to 600,000, down from a projected 900,000. Currently, there are about 760,000 participants.
Political Reactions
The Greens' disability spokesperson, Jordon Steele-John, called the proposal 'extraordinarily alarming' and confirmed the Greens would oppose it. The Coalition has signaled willingness to work with the government but supports an inquiry into the legislation. Shadow NDIS minister Melissa McIntosh said people with disability feel 'ambushed' by the lack of consultation.
Implementation Timeline
The changes will be rolled out progressively over the next two years. From October, the Thriving Kids program will offer support for children aged nine and under with autism and developmental delays. Major changes to how the NDIS works are scheduled to start in 2027, including new criteria for determining supports and no rollover of unused funds. The NDIA will also reduce its headcount by nearly 700 roles.
