After an independent NDIS review was released in December of 2023, there has been a steady stream of legislation changes around the act. The purpose of these changes is to amend the National Disability Insurance Scheme (NDIS) to deliver a framework of new rules that make the NDIS more sustainable, more efficient, and better and fairer for our disabled community.
The Albanese government intends to achieve this by providing alternative funding paths to ease the pressure on the NDIS. The block funding model no longer works for a unique citizenry; activity-based funding was created to meet everyone’s individual needs.
National Disability Insurance Scheme Changes 2025
The Thriving Kids Program
We must ensure the foundational supports are in place and the Thriving Kids program is considered a key part of the approach. Children with mild to moderate developmental delays or levels of autism are being moved toward other funding options rather than the NDIS. The Albanese government has committed $2bn towards the program.
The government expects to fully roll the plan out by mid-2027, though many disability campaigners are concerned about whether that’s a realistic timeline. That being said, if a child is on the NDIS, they will not be removed from the scheme unless there is an alternative support available. Instead of re-assessing children under nine every 12-24 months, participants will instead receive an impairment notice that determines primary impairment rather than disability diagnosis. The categories include cognitive, intellectual, neurological, physical, psychosocial, and sensory. Additionally, the early childhood age limit is moving from seven to nine years old as reflected in the Pricing Arrangements and Price Limits (PAPL).
The Supported Independent Living (SIL) Program
The Thriving Kids program is considered by the Albanese Government to be the first step in reshaping Australia’s foundational support. It isn’t the only step, and while there are plans to review disability support for teenagers and young adults, changes to the SIL program could have major ripple effects on the NDIS scheme as a whole.
In addition to an almost 4% increase in support worker costs, the changes are also giving providers more flexibility when it comes to adjusting weekly claims. Likewise, the NDIS supports definitions that now allow plan management changes in certain circumstances, whether it’s a type change or simple tweaks. Additionally, service books are created automatically for the annual plan’s value, and these bookings must be in place before you claim, unless you’re on a plan-managed plan.
The increase in support for family members and carers is an important change to discuss. The NDIS fills an important role in society, providing participants with the support they desperately need, but it doesn’t support family members or carers. While for some, training and development could be provided to help family members manage care responsibilities better, others may be better suited to respite care services.
In addition, some services will see expansion. The NDIS provides a range of services, from home modifications to daily living assistance and therapy. The NDIS will continue to evolve to include new services, with technology making virtual therapy and telehealth support a possibility.
Additional NDIS Changes
| NDIS Changes in 2025 | Changes | Clarification | Application |
|---|---|---|---|
| Section 32BA | The NDIA issues participants with an impairment notice to determine whether they can continue to access the NDIS or transition to a new framework. | From the 1st of January, 2025, new applicants will undergo the new process. | The government is yet to confirm the final date for existing participants. |
| Section 33 | This is applicable to new plans; once approved, they will have funding periods, funding component amounts, and funding amounts to clarify what’s available and how long those funds should last. | The funding period cycle changes from twelve months to three months as of the 19th of May, 2025. | If there are funds remaining at the end of the funding period, they disappear. |
| Sections 44 and 74 | These updates provide clarity around what the NDIA must (and can’t) consider when assessing unreasonable risks and plan management types. | This change that came into place on the 4th of March, 2025, impacts registered plan or self-managed participants. This NDIS change applies to new and existing plans. | |
| Section 47A | These changes clarify when variations can be made to plans. | You cannot change a plan if it extends beyond a five-year plan without a reassessment. If there are urgent, one-off funding needs for support, Support Coordinators must respond to significant changes in support needs. Minor plan variations can be made if the changes increase funding of the existing plan’s supports. | These changes came into effect on the 4th of March, 2025, and apply to new and existing plans. |
| Section 48 | The change to section 48 establishes consistent criteria to outline when a plan assessment is appropriate. | These changes came into effect on the 4th of March, 2025. | This change is applicable to new and existing plans, unless a participant has been given notice that they’re transitioning to a new plan. |
Pursuing NDIS Funding
The level of support a participant receives will depend on their goals and needs, but NDIS changes around the SIL will need to achieve more positive outcomes for participants. Not only will it lead to more tailored support and a better quality of care, but participants will also benefit from improved independence.
There are some concerns around how the more stringent eligibility criteria could cause stress to participants who have to undergo reassessment and face a reduction in function or disruption in care. There are also concerns around recruiting and retaining quality support workers, access in rural areas, and smaller (or rural) providers adapting.
Whether you’re eligible for NDIS funding or the funding path has been diverted to another program, there is funding available for people who need additional support. While the changes to the NDIS are aimed at making it a more sustainable scheme, there are still plenty of alternative funding paths to help participants keep their independence and receive the funding and care they deserve, whether you’re a new applicant or transferring from an old framework to a new one.
It isn’t about simply providing support; it’s about finding new ways to enrich participants’ lives by offering opportunities for education, employment, and socialisation.
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