In a move against exploitation, the federal government has initiated a crackdown on illegal overcharging within the National Disability Insurance Scheme (NDIS).
Led by the Australian Competition and Consumer Commission (ACCC), this crackdown targets providers who unjustly inflate prices, dubbing it the “NDIS ‘wedding tax’,” levied solely because an individual is part of the NDIS.
NDIS Minister Bill Shorten has pledged to expose dishonest practices, vowing to eliminate “shonky” providers who exploit individuals with disability, some of whom have gained significant wealth through taxpayer-funded disability services.
The Australian Criminal Intelligence Commission estimates that up to a fifth of NDIS expenditure is siphoned off through fraudulent means.
To empower participants and their support networks, Minister Shorten announced the distribution of letters outlining their rights and avenues to combat overcharging.
Bill Shorten stated “The era of exploiting disabled individuals within the NDIS is unequivocally over.” Amendments to NDIS regulations expressly forbid overcharging, with further legislative measures underway to reinforce this prohibition and impose severe penalties.
Under the new regime, consumers can report instances of overcharging to a dedicated task force, which will investigate complaints and take action where necessary. Although the ACCC typically does not handle individual price grievances, the updated code of conduct for NDIS providers mandates fair pricing practices, enabling the consumer watchdog to intervene in cases of unjustifiable price hikes.
Individuals can reach out to the NDIS price taskforce via email at pricehelp@ndiscommission.gov.au or by calling 1800 035 544.
Providers found in violation face financial sanctions, permanent exclusion from NDIS services, and potential criminal charges for fraudulent activities.
Marayke Jonkers, president of People With Disability Australia (PWDA), expressed confidence that these measures will ensure NDIS participants receive fair value for services rendered. “These changes mark the end of discriminatory pricing based solely on NDIS affiliation while holding providers accountable for ethical conduct,” remarked Ms. Jonkers.
Important takeaways:
- Providers suspected of overcharging NDIS participants will face a new consumer watchdog task force.
- As much as a fifth of NDIS spending is being rorted by exploitative providers, the Criminal Intelligence Commission has warned.
What’s next? The ACCC will begin investigating complaints made by participants and carers from Sunday 24th March 2024.
Written by Amanda Robinson, B.A., MMentalHealth Prac.
Amanda is a professional with over a decade of dedicated experience in the fields of Mental Health and Disability. Her extensive expertise lies in navigating the intricate landscape of the Disability Sector. She brings a unique perspective to her work, being both a person with lived experience of disability and a compassionate carer. She has a passion for advocacy, making her a staunch champion for the rights and well-being of individuals facing similar challenges.
