Key NDIS Reform and Sustainability Announcements 

On April 22, 2026, the Minister for Health and Aged Care, the Honourable Mark Butler, made a speech to the National Press Club on securing the NDIS for future generations.  

Key Takeaways: 

 

The Government will legislate immediately to slow NDIS cost growth   

The Government will introduce measures in the Budget to curb major drivers of NDIS inflation.

 

Major cuts and structural resets to the social and community participation funding   

The funding for social and community participation in the NDIS will be re-set back to 2023 spending amounts, with no further growth.  

 

The changes to the NDIS spending will come at the expense of the funding for social and community participation hours for non-supported independent living (SIL) participants.  

 

A new $200 million Inclusive Communities Fund will be established outside of the NDIS    

This will help to support and re-build community-based, non-NDIS participation options to cater to social and community participation needs.  

 

Stronger provider regulation and payment integrity measures will be enforced   

A digital payments system will be introduced, ensuring greater oversight of the evidence behind provider claims that are being made.   

 

Changes to registration will mean that mandatory provider registrations will be introduced for higher risk activities such as personal care, daily living supports and supports provided in closed settings.   

 

Eligibility criteria will tighten through the implementation of functional assessments   

The diagnosis-based “access lists” will be removed and replaced with standardised assessments of functional capacity. Eligibility into the NDIS will be based on functional capacity, or significant and permanent functional impairment. 

Noting that people with psychosocial disability find it can struggle to gain and maintain access to the NDIS, further work is required to ensure that this cohort is not disproportionately impacted by these changes.