NDIS budget cuts to two support categories are now being written into participants’ plans. Under the new NDIS legislation, the Minister has made a support determination that reduces funding in two categories, and the National Disability Insurance Agency (NDIA) is applying it plan by plan. When it reaches you depends on when your plan is next created, reassessed or renewed.
What the NDIS budget cuts change
- Assistance with Social, Economic and Community Participation: funding in this category is cut by 50%.
- Improved Daily Living: funding in this capacity-building category is cut by 10%.
- New or reassessed plans: the reductions have applied since 1 October 2026.
- Renewed plans: from 1 February 2027, the reductions will also apply when a plan is renewed.
The cuts are being brought in gradually as each participant’s plan comes up, rather than all at once. The Government expects them to reach all relevant plans by 30 September 2027. They apply to plans made under the current (old) NDIS framework, and they only take effect when a plan is created, reassessed or renewed, never partway through an existing plan.
Some supports are exempt. These include supports in employment, high-intensity supports, intensive and complex behaviour support, disability-related health supports, customised and wearable technology, and hearing services. If you have very high support needs and receive 24-hour funded support, you may be able to ask for a plan variation within 90 days of getting your plan.
Also read: Medicare now offers a dedicated health check for 3-year-olds
General information only, not legal advice. Please check the official source before acting.
Sources: National Disability Insurance Agency; Department of Health, Disability and Ageing, Licence: CC BY 4.0.
