For the past several years, the federal government has been grappling with the runaway growth of the National Disability Insurance Scheme.
Launched in 2013, the $46 billion scheme has been expanding, putting significant pressure on the budget. It was also supposed to be jointly funded by states, territories and the Commonwealth, but the federal government is bearing the lion’s share of costs.
On Wednesday afternoon, federal Health Minister Mark Butler announced sweeping changes to the NDIS, including moving thousands of children with mild and moderate autism onto a new support system, Thriving Kids, as part of a savings push.
Health Minister Mark Butler wants to cut the growth rate of the NDIS.Credit: Dominic Lorrimer
Butler said Thriving Kids would be established to support families in schools, childcare centres and playgroups from July 2026, and fully rolled out a year later.
“I know this will be hard for some parents to hear, and I don’t say it lightly. But we do need, as a matter of urgency, to create a better system that will enable our children to thrive.
“Diverting this group of kids over time from the NDIS is an important element of making the scheme sustainable and returning it to its original intent.”
However, by Thursday Butler was forced to make several breakfast radio and TV appearances, scrambling to reassure families there would be “no gap between the stools”.
“I get that parents are feeling unsure after the announcement I had made yesterday. I want to reassure them that we’re not going to leave them high and dry,” he told Nine’s Today.
Parents were rattled by the lack of detail about the program, the perception it’s driven by budgetary pressures rather than health outcomes, and the relatively tight timeline for its introduction next year.
Talking to the Herald’s Mary Ward on Thursday afternoon, mother of four Cara Delarue spoke for many. “It’s scary and stressful to think that the push for this might be a way to save money. You’re saving money by having children go without the assistance they need.”
Autism Awareness Australia CEO Nicole Rogerson acknowledged parents were “very nervous” but was “cautiously optimistic” the new program could mean children with mild delays would access support earlier.
The increasing trend in autism diagnosis is a legitimate cause for concern and demands scrutiny. In principle, a decision to move this cohort outside the NDIS is not without merit. The scheme is currently growing at an unsustainable level.
But as the anxious response of parents shows, it’s crucial there be widespread consultation, consideration and flexibility for any new scheme.
Ultimately, this must also be more than a bunfight between states and the Commonwealth over funding, as highlighted by the response of Premier Chris Minns, who said he could not “sign a blank cheque”, and NSW Health Minister Ryan Park, who said he would not oversee “a cost shift to the state”.
For the thousands of parents like Delarue, it’s essential their children get access to early support and care – but also it’s fair for government to ensure this support is limited only to those who absolutely require it.
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