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The government plans to tighten NDIS eligibility. Here’s what’s likely to change

15 0
18.05.2026

Amid the noise and spectacle of budget week, one significant policy change has slipped largely under the radar. Health Minister Mark Butler introduced changes that, if passed by parliament, will tighten access to the National Disability Insurance Scheme (NDIS).

The legislation also grants the minister new powers to cut participant funding and expand the use of automated decision-making.

The changes follow last month’s announcement that the government intends to strip A$36 billion from the scheme by 2030. This would cut participant numbers by 160,000.

These reforms mark a shift in the philosophy of the scheme. Once framed around individual rights, choice and control, the scheme is being redesigned to ration support and reduce expenditure.

The full impacts of these changes will emerge over the coming years, but the shift in priorities is already clear. So what are the proposed changes and what impact might they have?

Strong focus on financial sustainability

The new legislation includes a series of changes the government argues are necessary to achieve budgetary sustainability.

The changes emphasise financial sustainability, while removing references to United Nations disability rights principles centred on personalised support, choice and independence.

A key reform is the new power given to the minister to cut funding across entire categories of support without needing to pass new legislation. Under the changes, the minister would be able to set a percentage reduction for specific types of supports across whole groups.

This could mean, for example, cutting capacity-building supports for skills such as managing emotions or finding a job by 80%.

While the law says participant safety must be considered, it’s........

© The Conversation