Government overhauls NDIS to cut 150,000 participants

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Government overhauls NDIS to cut 150,000 participants
Government overhauls NDIS to cut 150,000 participants
Isaac Francis
Written by Isaac Francis
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The federal government announced an overhaul of the National Disability Insurance Scheme, unveiling plans to remove approximately 150,000 participants to ensure the programme's long-term viability.

Addressing the National Press Club, Health Minister Mark Butler detailed the centrepiece of next month's budget: a strategic pivot away from diagnosis-based entry towards an "objective assessment tool" focused on significant impacts to daily living.

The scheme, which currently supports 760,000 Australians—nearly double its original target—was projected to exceed 900,000 by 2030.

The reforms aim to cap annual growth at 2% over the next four years, slashing projected costs from $70 billion to $55 billion by the decade’s end.

"The diagnosis gateway has funnelled people onto a scheme that was never designed for them," Minister Butler stated, confirming that while universal access remains, the "access lists" used during the NDIS’s infancy will be abolished.

Registration will become mandatory for providers, 90% of whom currently operate unregistered.

The government confirmed a shake-up of aged care; private health insurance rebates for Australians over 65 will be scaled back to fund a $3 billion investment in beds and packages.

This follows a high-profile backflip on a controversial plan to charge for basic care services like dressing and showering.

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