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Butler indicates he 'won't be rushed'
The introduction of Foundational Supports will now be delayed until the end of the year
Nic Stuart
May 27, 2025
The abilityNEWS Daily
The Big Story
Mark Butler yesterday (photo courtesy The Australian)
Reforms will be delayed - but are likely to be more significant
Health Minister Mark Butler has confirmed all major health funding agreements — including the multi-year hospital deal and NDIS reforms — will not be finalised until the end of the year.
Butler acknowledged the rollout of foundational supports for Australians with disability will not begin on July 1, as previously suggested. Some observers have pointed to this as a positive, suggesting it indicates the new ministers are determined to iron out a umber of problems embedded into the current reform proposals.
The Minister specifically clarified that final decisions on foundational supports — a key element of NDIS reform — are now being intertwined with broader hospital funding negotiations and will be resolved “over the course of the rest of this year.”
“This is a job lot,” Butler said, referring to the NDIS reform rules, foundational supports, and the multi-year public hospital funding agreement. “There’s obviously quite a deal of work to go on all three components.”
This suggests a more significant reform of the overall health system is being considered. This would provide better healthcare and support more generally, while restricting the NDIS to those with significant and long-term disability.
This delay is likely to frustrate, if not surprise disability advocates and peak bodies. Some broad outline of policy detail had been expected within weeks. Instead, Butler indicated a slower timetable would be adopted, citing the newly restructured ministerial responsibilities that place both the NDIS and foundational supports under his portfolio — a shift that, he argued, creates a “single point of contact” for states and territories.
Clarity on foundational supports — also known as tier 2 supports for people ineligible for the NDIS — remains elusive. Butler reiterated that no changes are being made to core NDIS eligibility, but reforms will extend assistance to a broader population through foundational programs, echoing the December NDIS Review’s recommendations.
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