Government insists $14 billion plan is "not a cut" for NDIS

Government insists $14 billion plan is “not a cut” for NDIS | Insurance Business Australia

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Government insists $14 billion plan is “not a cut” for NDIS

NDIS Minister says the new approach will ensure the scheme’s expansion

Insurance News

By
Mav Rodriguez

The Albanese government plans to save over $14 billion by implementing new accountability measures to prevent waste and fraud in the National Disability Insurance Scheme (NDIS), according to NDIS Minister Bill Shorten.

“This is not a cut. We still want the scheme to grow. By 8% In three years, but it can’t keep growing at 20%. So we’re putting in place measures to stop money being wasted,” NDIS Minister Bill Shorten explained in an interview with RN Breakfast.

Amid broader budget discussions that also touched on tax cuts, energy relief, and renewable energy ambitions, the focus on the NDIS centered on maintaining its growth while curtailing its rapid cost increases. Shorten highlighted that while the NDIS budget is set to rise from $42 billion this year to $60 billion in four years, the government aims to curb its growth rate from the current 20% to a more manageable 8% through targeted reforms.

On concerns about potential service cuts for NDIS participants, Shorten offered reassurances that the changes are aimed at improving the scheme’s management rather than reducing support.

“I can understand the anxiety of change. If you’ve battled you and you’ve finally got something you, you know, you’re gonna hang on to it. That’s fair enough,” Shorten said, adding that the new regulations would prevent service providers from overcharging NDIS participants.

“When you talk about change, the muscle memory under the previous government was pretty brutal… But what I would say to those people is that we are budgeting for the spin to increase every year. We are forecasting there’ll be more people on the scheme next year than there were this year.”