The Albanese government on Wednesday will unveil the biggest source of cuts in the May 12 budget, when it announces a sweeping overhaul of the National Disability Insurance Scheme.

It wants to get the $49 billion-a-year scheme, now growing at 10% annually, down to a growth rate of about 5%.

Minister for the NDIS Mark Butler will announce the changes now not just to prevent the bad news overshadowing the budget, but to give the government an opportunity to manage stakeholders, especially the states. On Tuesday Treasurer Jim Chalmers will meet his state counterparts in a video conference to discuss the Commonwealth’s plans.

Previously, federal NDIS changes have run into resistance from the states, which have to take up more responsibility for disability as the Commonwealth cuts back.

Chalmers told a Monday news conference:“The NDIS is growing too fast for Australians to afford.” Without change, it would reach a cost of $62 billion annually in 2028-29, he said.

Chalmers said overhauling the NDIS had been “a really big part of our pre-budget deliberations”.

“It is easily the most important part of the savings package that we will present on budget night. There have been many, many hours of deliberation”.

Chalmers has been determined to use the opportunity of this budget........

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