The Australian Federal Government is preparing to tighten the purse strings on the National Disability Insurance Scheme, with the upcoming May budget expected to prioritise a reduction in the programme's growth.
Currently expanding at 8% annually, Treasurer Jim Chalmers aims to reel that figure in to 5% as the scheme’s cost is projected to hit $100 billion by 2034-35.
While the IMF and OECD have advocated for the introduction of means-testing to control the $50 billion programme, the Albanese government is expected to resist such a fundamental redesign.
The Coalition has welcomed the focus on sustainability but urged Labor to prioritise rooting out "rorts" and criminal exploitation over structural changes to eligibility.
Shadow Minister for Women Maria Kovacic argued that bad-faith actors have "infiltrated" the system, leaving genuine participants struggling to access essential services.
Despite the OECD noting that Australia’s in-kind benefit programmes lack the rigorous cost controls seen in cash benefits, Shadow Energy Minister Dan Tehan maintained that the NDIS was never intended to be means-tested. Instead, the Opposition has offered bipartisan support to "trim the fat" and eliminate systemic fraud.
National Disability Services has already warned providers to brace for changes, echoing NDIS Minister Jenny McAllister’s sentiment that the scheme must remain a support system rather than a "get-rich-quick scheme".