We have been waiting and waiting for some news…and wow…did we get it all at once!
The Australian Government has just announced one of the most significant overhauls to both the NDIS and aged care systems in recent years.
In a National Press Club address, Health Minister Mark Butler outlined reforms that will reshape who receives support, how services are delivered, and what is expected of providers.
If you’re a provider, this isn’t just policy noise; this will have operational, financial, and workforce impact.
We’ve broken it down for you, and here’s what matters most for providers right now. There will be more announcements, legislative changes from the middle of the year and some other drip-fed details coming. So, let’s start here.
NDIS: A Shift Towards Sustainability and Accountability
1. Fewer Participants, Tighter Access
The NDIS is expected to reduce from 760,000 participants today to around 600,000 by 2030.
This signals a major shift:
- Stricter eligibility criteria
- More people transitioning out of the scheme
- Increased pressure on mainstream and community supports
What this means for providers:
- Demand may stabilise or decline in some service areas
- Participant complexity may increase (higher needs, fewer low-support participants)
- Greater scrutiny on service value and outcomes
2. Functional Capacity Over Diagnosis
Access to the NDIS will move away from diagnosis-based eligibility and toward functional capacity assessments.
Why this matters:
- Providers will need to clearly demonstrate how supports improve daily functioning
- Documentation, reporting, and outcomes tracking will become critical
- Workforce capability in assessment language and evidence-based practice will be essential
3. Slowing the Growth of a $50B+ Scheme
The government is targeting $55 billion by 2030, down from the projected growth of $70 billion.
This means:
- Tighter funding controls
- Increased auditing and compliance activity
- A stronger focus on eliminating waste and fraud
Provider takeaway:
Efficiency, compliance, and evidence of impact are no longer “nice to have”—they are survival requirements.
4. Mandatory Provider Registration
One of the biggest changes:
REGISTRATION will become MANDATORY for all NDIS providers.
Currently, fewer than 10% of providers are registered.
This is an absolute game-changer!!
Providers will need to:
- Meet NDIS Practice Standards
- Undergo audits
- Demonstrate governance, risk management, and workforce capability
If you’re unregistered, the question is no longer “should we register?” It is “how quickly can we get ready?” And we offer courses to assist you with your registration, including a free introduction module!
5. Inclusive Communities Fund ($200M)
A new fund aimed at building community-based supports outside the NDIS.
Implications:
- More emphasis on local, non-NDIS supports
- Potential partnership opportunities
- A shift toward community inclusion rather than scheme reliance
Aged Care Changes
Ok, now onto Aged Care. Mark Butler didn’t leave NDIS’s sibling out. He announced some further changes within the aged care sector. Let’s break this down for you with the ‘need to know for now’ news.
1. $3 Billion Boost to Capacity and Care
Funding will go toward:
- More residential aged care beds
- Increased home care packages
- Improved service delivery
But with great funding comes great accountability.
Providers should expect:
- Stronger regulation under the new Aged Care Act
- Higher expectations around quality, safety, and governance
2. Support at Home: Core Services Become Free
An additional $1 billion will fund the Support at Home program, including:
- Showering
- Dressing
- Continence management
- Clinical care
What this means:
- Increased demand for in-home services
- Workforce pressure (especially for skilled care roles)
- Greater need for consistent, high-quality training (this is where the NGO Training Centre comes in!!!)
3. Dementia Care Investment ($200M)
There will be a HUGE pool of funding for:
- 20 new specialist dementia care units
- Expansion of hospital-to-aged-care transition programs
Provider impact:
- Growing demand for dementia-specific skills
- Increased focus on clinical capability and behavioural support
- Need for specialised training and workforce readiness
The Bigger Picture: Reform Was Inevitable
The reality is, we knew these changes were coming.
With rising costs, increased fraud concerns, and recommendations from the Disability Royal Commission and NDIS Review, the system was under pressure to evolve.
As one political commentator noted, without reform, the scheme itself was at risk.
What Providers Should Do Now
This is not a “wait and see” moment. YOU, as a provider, MUST:
1. Review Your Compliance Position
- Are you ready for mandatory registration? We have NDIS Self-Assessment Preparation Courses to assist you with your registration!
- Do your systems align with Practice Standards?
2. Strengthen Workforce Capability
- Focus on functional capacity, not just task delivery
- Invest in training that supports evidence-based practice – contact our team, who will be happy to help you find the right training for your needs
3. Improve Documentation & Evidence
- Can you clearly demonstrate outcomes?
- Are your reports audit-ready?
4. Plan for Market Shifts
- Consider diversification (NDIS + aged care + community supports)
- Explore partnership opportunities
If that wasn’t already a lot to take in on a Wednesday afternoon, I don’t know what is!
I recommend taking the time to review all these announcements, as many details are still missing and numerous components need clarification in the coming weeks. We will keep you updated as we learn more!
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Author: Amanda Robinson BA, MMHealthPrac,
As Head of Learning and Development and a seasoned NDIS expert, Amanda drives capability and sustainability in the disability and health sectors. With over 15 years of experience, post-graduate qualifications in Mental Health Leadership and Management, and currently pursuing an MBA, she brings deep expertise and personal insight as someone with lived experience of disability. A devoted carer, Amanda champions Human Rights, working to dismantle stigma and barriers for individuals with disability and mental health challenges. She is passionate about building robust stakeholder relationships, leveraging her advocacy, communication, strategic thinking, and analysis skills.
