SKIP TO MAIN CONTENT

Government admits NDIS reforms will impact families, downplays fears over state readiness

The federal disability minister has defended changes to the NDIS, flagging further amendments to tackle fraud and win parliamentary support.

A purple flag displays the letters 'NDIS'.
The federal government is confident an NDIS reform deal is close, despite opposition from advocates. Source: AAP / James Ross

3 min read

Published

Source: AAP


Skip to article content

In brief

  • NDIS Minister Jenny McAllister said a deal between the government and the coalition to pass the controversial reforms is close.
  • Disability advocacy groups say the reforms shouldn't pass without guarantees people won't lose NDIS support payments.

Labor has downplayed concerns that state-based disability supports won't be ready when needed, as the government pushes contentious NDIS reforms targeting fraud and spending through parliament.

A government-led Senate inquiry on Friday recommended National Disability Insurance Scheme changes should be passed with no substantial alterations.

The overhaul would cut a targeted $37.8 billion from the NDIS over four years and remove 160,000 participants by tightening eligibility requirements.

NDIS Minister Jenny McAllister said a deal between the government and the coalition to pass the changes was getting close.

"We're really hopeful and I'd go as far as saying confident that we can reach an agreement," she told ABC's Insiders program on Sunday.

News that makes sense

Your trusted source for staying up-to-date with the world around you. Get free daily news updates and analysis, straight to your inbox.

By subscribing, you agree to SBS’s terms of service and privacy policy including receiving email updates from SBS.

Opposition health spokeswoman Anne Ruston called for a strengthened fraud and corruption response within the disability insurance agency in the inquiry report.

Senator McAllister said the government was still considering evidence brought forward during the inquiry process and flagged fraud as an area to work through with the coalition.

A woman with short hair wearing a suit speaks to the camera.
NDIS Minister Jenny McAllister says the government is working with the coalition to tackle fraud. Source: AAP / Mick Tsikas

But concerns about the changes remain among advocates — and from at least one state.

In a joint statement, 12 disability advocacy organisations said the reforms should not pass parliament in their current form.

"Reform must be genuine and well-sequenced," the statement read.

"It must guarantee that people are not diverted from, or lose, NDIS supports unless alternative supports are funded, operational, accessible and available in practice."

A woman holds a sign saying 'Protect our NDIS' at a media conference.
NDIS advocates say the proposed reforms should not be given the green light. Source: AAP / Lukas Coch

Queensland has resisted signing up to the Thriving Kids program, a major plank in federal plans to cut costs from the NDIS.

Under the program, which is due to be rolled out from October, some children aged eight and under with autism or developmental delays would be shifted onto state supports.

Queensland Disability Minister Amanda Camm has refused to back the agreement, labelling the change a cost-shifting exercise that lacked detail.

Despite the conflict, Labor remained confident people with a disability would not be left without the support they needed.

"We have until 2028 to get this right," Senator McAllister said.

"We don't need to contemplate delay at this point, because we are working with the states and territories toward that January 1 deadline."

Labor's NDIS plan would lead to average funding being cut by about $5000 a year for participants.

"It is a reduction and we don't deny that it will have impacts on people with disability and their families," Senator McAllister said.

She again dismissed calls to introduce an NDIS inspector-general, saying it would risk adding another layer of bureaucracy.


For the latest from SBS News, download our app and subscribe to our newsletter.


Get SBS News straight to your inbox

Sign up now for daily news from Australia and around the world. You can also subscribe to Insight's weekly newsletter for in-depth features and first-person stories.

By subscribing, you agree to SBS’s terms of service and privacy policy including receiving email updates from SBS.

Follow SBS News

Download our apps

Listen to our podcasts

Get the latest with our News podcasts on your favourite podcast apps.

Watch on SBS

SBS World News

Take a global view with Australia's most comprehensive world news service

Stream now

Watch the latest news videos from Australia and across the world