Landmark NDIS Overhaul Passed: New Era for Disability Support Begins in 2028

Major Legislative Changes Take Effect

Parliament has passed significant new laws impacting the National Disability Insurance Scheme (NDIS). These changes are set to tighten eligibility criteria, potentially leading to approximately 240,000 people transitioning off individual NDIS plans.

The federal government aims to manage the scheme’s growth, expecting to save $37 billion over the next four years and an estimated $150 billion over a decade.

What This Means for NDIS Participants and Families

The new eligibility assessments will come into effect from January 2028. This shift particularly affects older children, teenagers, and adults currently on the NDIS who are considered to have “lower needs.”

Those who no longer meet the stricter criteria will need to access support through new state and territory-led systems, often referred to as “foundational supports” or “Tier 2” supports.

New Support Systems on the Horizon

“Thriving Kids” First Off the Blocks

To ensure continuity of support, new programs are being developed outside the NDIS framework. The “Thriving Kids” scheme, designed for children under nine with developmental delays and autism, is set to begin its rollout from October this year in most states and territories.

This program is expected to be fully operational by early 2028, offering community-based support without requiring an individual NDIS plan.

Designing “Thriving Teens” and Beyond

Health and Disability Minister Mark Butler highlighted the urgent need for similar programs for older children and teenagers. He referenced a potential “Thriving Teens” program, which would cater to those no longer eligible for the NDIS from 2028.

The government expects to learn valuable lessons from the “Thriving Kids” rollout to accelerate the design and implementation of these broader support systems, aiming for all new systems to be ready by January 1, 2028.

Concerns from the Disability Community

The passage of these laws has drawn strong criticism from disability advocacy groups. People with Disability Australia, a leading peak body, described the day as “devastating” for the community.

The acting chief executive, Megan Spindler-Smith, stated that thousands of people with disability provided evidence outlining the potential harm, injuries, and lost opportunities these changes could bring, but Parliament chose to proceed.

What Happens Next?

Federal officials are already working on the new NDIS eligibility assessments that will be in place by January 2028. State and territory governments, with the exception of Queensland, have indicated they have implementation plans ready for the “Thriving Kids” program.

The focus now shifts to developing and rolling out these new foundational support systems to ensure a smooth transition and continued access to vital services for those impacted by the changes.

Hazel Chen

I work in marketing and communications for NDISLocal, helping connect NDIS participants, families, and providers with clear, useful information about the sector. I'm passionate about making the NDIS easier to understand and navigate, and about giving disability service providers a platform to reach the people who need them. If you'd like to know more about anything covered in this post, or you're a provider interested in being featured, feel free to get in touch.