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The Big Story
Mark Butler at the Press Club (photo courtesy The Australian)
Thousands of Children with Autism Set to Transition Out of NDIS
NDIS Autism Supports to be Replaced with Thriving Kids Program
It was a stark warning. Health, Ageing and Disability Minister Mark Butler stood at the National Press Club and declared the NDIS can no longer carry the weight of children with mild to moderate autism.
“Tens and tens of thousands of young children with mild to moderate developmental delay or autism are on a scheme set up for permanent disability,” he said. “I doubt very much this is what most of their parents really wanted or expected. But it’s all they’ve had available – the only port in the storm.”
The NDIS, Butler argued, must return to its original purpose: supporting Australians with significant and permanent disability. Without reform, costs will overwhelm the Budget and public support will fracture.
A new system – called Thriving Kids – is to replace NDIS support for children with mild to moderate autism by July 2026. Yet details remain sketchy. States must agree to co-fund it, parents are being asked to wait for a design process still to begin, and foundational supports that disappeared years ago will need to be rebuilt.
Butler admits families will find this message hard. “They love their children and want the best for them. They are desperate – absolutely desperate – to get their children diagnosed because we’ve made it the only way they can get help.”
The Minister promised the $2 billion Commonwealth commitment would be spent in partnership with parents, providers and states. He also warned of a crackdown on unregistered providers and services lacking an evidence base. “That has to change,” he insisted.
The NDIS is shifting course. The question now is whether governments can build something else before families are left stranded.
Author’s Note
Yesterday’s announcement of the plan to remove children with autism and replace their supports with the Thrive program represents the biggest change to the NDIS since its inception. It abandons the individual care model, replacing it with the sort of foundational supports the NDIS was meant to replace.
The reason is simple. The cost was unsustainable. This is a change that has simply been waiting for a government that had the political will to implement it.
Imposing change is never easy. By promising no child will be kicked off the scheme and delaying its introduction, Mark Butler has bought himself time. But the announcement has been made before the details of the Thrive program have been worked out. And we don’t know if the states will be willing to share the burden of the new plan.
abilityNEWS will be keeping you in touch with developments over the coming weeks. And we’d love to hear from you, too . . .
Nic Stuart, editor ([email protected])
The Briefing
Image courtesy 7 News
REACTION: CYDA says rushed rollout risks leaving families without critical support
by Children and Young People with Disability Australia
Disability advocates warn the rapid rollout of the government's Thriving Kids program could disrupt vital support for families. Children and Young People with Disability Australia urges a more measured approach to ensure inclusive and effective outcomes.
REACTION: What Every Australian Counts says
by NDIA
Health Minister Mark Butler has flagged reforms to slow NDIS growth and refocus the scheme on people with permanent, significant disability. A separate program, Thriving Kids, will support some children currently on the NDIS, with changes starting from mid-2026.
REACTION: What Advocacy for Inclusion says
by Advocacy for Inclusion
The ACT Disability Directed Advocacy Caucus raises significant concerns about implementation risks, funding adequacy, workforce capacity, and the need for tailored rather than “one-size-fits-all” approaches. The advocacy groups stress that any reforms must not exclude people from the NDIS without alternative supports being available, and call for a moratorium on NDIS plan cuts during the transition period.
Stronger NDIS improving the lives of participants
by NDIS
The National Disability Insurance Scheme is being strengthened to improve participant outcomes and build long-term sustainability. Reforms target fraud reduction, better service delivery and increased confidence among people with disability and their families.
Meet the new NDIS Reform Advisory Committee
by Health
The NDIS Reform Advisory Committee will advise government to ensure the diverse voices of people with disability are heard. They join Committee Co-Chairs El Gibbs and Dougie Herd. They are: Jeramy Hope (NSW), Nigel Webb (Qld), Carrie Clark (WA), Clare Waiss (Tas), Catherine McAlpine (Vic), Renee Heaton (ACT), Katharine Annear (SA), Annie Rily (NT), Kelly Treloar, Elvis Martin, and Sebastian Langdon-Macmillan.
The Wrap
NDIS shake-up sets stage for summit showdown on budget cuts and tax reform as roundtable enters final day
by ABC
The productivity roundtable's final day will focus on the issues of budget sustainability and tax reform. The NDIS, defence, aged care, hospitals, Medicare and child care are all growing budget commitments that will be under the microscope of attendees today.
‘Thriving Kids’ could help secure the future of the NDIS. But what will the program mean for children and families?
by The Conversation
There have been concerns for some time that the NDIS is not working well for some young children. Best practice in early childhood intervention and care generally suggests children should be integrated into mainstream settings where they live, play and learn.
Children with mild autism removed from NDIS to fix the budget
by AFR
The Albanese government has made its most significant gesture yet towards budget repair with a pledge to cut the growth rate of the NDIS, and a revamped proposal to remove children with mild autism and other developmental conditions from the scheme.
Co-chair of Labor's new Thriving Kids program Frank Oberklaid pushes for 'evidence based, fairer' system after autistic children diverted from NDIS
by Sky News
Speaking with The Australian on Wednesday evening, Mr Oberklaid acknowledged the NDIS had “not worked for children” as those with milder conditions had received support while others had missed out.
The Diary
