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Housing: a basic need - and right
A new report from the Summer Foundation urges the NDIS to adopt Individualised Living Arrangements
Nic Stuart
June 03, 2025
The abilityNEWS Daily
The Big Story
[photo courtesy Summer Foundation]
Changing housing arrangements now ‘a real opportunity’
Shifting more people with disability into Individualised Living Arrangements (ILAs) could both improve quality of life and save the National Disability Insurance Scheme (NDIS) $260 million over five years, according to a new report by the Summer Foundation.
The report, Moving Out, Moving On: Beyond group homes for NDIS participants, argues that ILAs are not only more person-centred but also more cost-effective than the traditional group home model, particularly as the cost of Supported Independent Living (SIL) continues to surge.
SIL funding costs have increased by 28 per cent over the past five years, placing a growing strain on the NDIS. Group homes, which typically rely on a 1:3 support ratio, are one of the scheme's most expensive service models.
ILAs are tailored to the individual’s preferences—allowing participants to choose how and with whom they live, whether that’s with a host, a housemate, or a mentor.
“ILAs are typically more cost-effective than group homes,” said Jessica Walker, the Summer Foundation’s Head of Policy, Communication and Systems Change. “If just 500 more people chose ILAs each year, the NDIS could save $260 million over five years.”
Currently, only 520 NDIS participants live in ILAs across Australia, supported by providers using various models such as Host, Homeshare, Good Neighbour, Mentor and Co-Resident arrangements.
Such models are already widely used in countries like the UK and Canada but remain underutilised in Australia due to outdated pricing structures and a lack of government support.
People with intellectual disability, acquired brain injury, and autism are the most common users of ILAs, which are shown to promote greater independence, stronger social connections and improved personal outcomes.
The report highlights the need for the NDIA to introduce a secure pricing and regulatory framework, raise awareness among participants and families, and grow the pool of live-in supporters to make ILAs a mainstream alternative.
/Read the Summer Foudation’s Media Release
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Quiz: What is the ‘reasonable and necessary’ test in the NDIS?
(a) A tax test for plan managers (b) A way of assessing the cost of care (c) A funding rule to determine support eligibility
Answer – The ‘reasonable and necessary’ test determines what supports can be funded by the NDIS.
The Diary
