NDIS Changes: What You Need to Know

Friday, 7 August 2026, 12:16 pm

Friday, 7 August 2026, 12:36 pm

A Senate inquiry has heard from people affected by proposed changes to the National Disability Insurance Scheme.

The NDIS is facing significant changes since it was first set up.

The government has proposed changes to reduce the scheme's cost by over $30 billion in four years.

Over six days, senators asked how people with disabilities would be affected and what other services would be available.

Labor senator Ellie Whiteaker and Greens senator Jordan Steele-John listened to evidence on the final day of public hearings.

If the changes happen, over 300,000 participants might exit the scheme or be prevented from joining, causing disagreement between the government and those affected.

Witnesses agreed that the system must stop being exploited and its growth must be controlled so it can be sustained.

The Senate committee received 4,500 submissions in two weeks, showing many people's concerns.

State and territory ministers said the changes were happening too fast and they hadn't been consulted enough.

Several issues were raised during the hearings.

A cut that's a safety issue

The government says NDIS funding for community engagement is a 'runaway' cost that needs to be controlled.

They plan to use a provision to cut any funding stream they see fit.

Once the legislation passes, funding for support workers will be cut by 50 percent.

Participants' budgets for therapies will also be reduced by 10 percent.

Disability Discrimination Commissioner Rosemary Kayess is worried reduced funding could isolate participants and put them at risk.

Commissioner Kayess said the cuts could mean participants end up in unsafe environments.

A witness said cutting his funding would have a big impact on his life.

No one wants fraud in the scheme

The government wants to stop fraud by unscrupulous operators who exploit NDIS participants.

Many witnesses supported measures to reduce fraud and overcharging.

The Australian Federal Police said the scheme is a target for criminals due to its large expenditure.

The proposed changes would give the NDIA power to investigate fraud and address conflicts of interest.

Several witnesses questioned why the bill didn't go further.

Bronwyn Morris Donovan said the legislation doesn't go far enough to stop fraud.

Concern for carers

The NDIS has helped many family members and carers by providing support for people with disabilities.

The new legislation could change this support.

The draft bill says parents should provide 'substantial care' like personal care and transport.

Skye Kakoschke-Moore warned of potential carer burnout.

Kakoschke-Moore said raising children with disabilities is different from raising those without.

She said expecting parents to provide the same level of care as support workers could put families in crisis.

The government wants to move children with autism and developmental delay off the NDIS.

The Thriving Kids program will provide state-based support for these children.

Advocates are concerned about the lack of services in place.

Draft ministerial powers labelled 'dangerous'

Advocates condemned the proposal to give the NDIS minister power to cut any funding stream.

Dr George Taleporos said this provision would create a 'terrifying and dangerous power'.

Ms Kayess said the ministerial powers are broad and lack accountability.

Naomi Anderson said putting so much power in one person's hands is a problem.

Anderson said they don't know who the minister will be or their budget priorities.

What's next?

The inquiry will report back on August 14.

After that, the Senate will vote on the bill.

The Labor-led committee issued an interim report showing their thoughts.

It said the minister must consider participants' safety when cutting funding.

The report called for more detail on 'critical supports' that won't be impacted by cuts.

It recommended the bill be passed.

The government needs the support of the Coalition or the Greens to pass the bill.

The Greens and senator David Pocock don't support the bill passing.

The question now is what the changes will mean for the NDIS and its participants.

See more ABC coverage.

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