The abilityNEWS Daily

The Big Story

Money (courtesy Unibank)

The limits of government support

With inflation numbers volatile and wages lagging, the Reserve Bank has held off reducing interest rates. Money policy remains tight. This will be a problem as the states take on responsibility for delivering NDIS programs.

In case you missed it, the Reserve Bank didn’t cut interest rate this week, This leaves households (and state governments) squeezed by a stagnant economy and shrinking revenue.

This is disappointing for anyone paying off a mortgage, of course, but why discuss it in a newsletter about the NDIS? Well, US President Bill Clinton explained why in a short, pithy phrase some 30 years ago: “It’s the economy, stupid.”

The economy drives politics just as emphatically as your own income drives the household budget. Everything is affordable, but as the budget becomes tighter and tighter, you need to make increasingly difficult choices on what to spend your money on.

Reserve Bank Governor Michele Bullock spelt it out: although headline inflation is easing, it’s because of subsidies (like those for energy bills). These are temporary measures the Bank won’t factor into long-term strategy. Underneath, she said, inflation is running hot.

People need more money to live and government programs, like the NDIS, are still growing much faster than the economy.

Economic Growth vs NDIS Expenditure

Year / Financial Year

GDP Growth Rate

NDIS Annual Expenditure (AUD)

2021 / 2021–22

4.9%

$28.1B

2022 / 2022–23

3.7%

$35.1B

2023 / 2023–24

1.9%

$41.8B

2024 / 2024–25

1.0%

$40.7B (projected)

2025 / 2025–26

1.6% (projected)

$50B+ (projected)

Growth of the NDIS is still significantly outpacing broader economic growth.

This is the problem for the NDIS. If politicians want re-election, they’ll be concerned about spending money the economy doesn’t have. And they will make cuts.

Is this what’s behind the current changes to the NDIS?

Rental prices—once a key inflation driver—have flattened across most capital cities, but not because conditions have improved. Households are hitting affordability limits. More people are cramming into the same dwellings, demand is softening, and wage growth is stalling. That’s hardly a foundation for recovery.

It might mean inflation’s coming down, but the cost of the NDIS is still growing faster than the rest of the economy - and that’s a problem.

But the other real strain may be elsewhere: from the very governments expected to pick up the slack as federal programs like the NDIS face tighter controls. New research from the Australia Institute shows state budgets are being hollowed out by a decade of underperforming GST collections. As the Commonwealth looks to step back from disability funding, the states may be the least capable of stepping in.

The Briefing

What the sector is saying

Change can be a headache (image courtesy NDS)

Evaluation of early NDIS reforms show need to involve providers

by NDS

The NDIA’s first NDIS Reform Evaluation Summary Report confirms what NDS members have been reporting: that rushed implementation, limited engagement with providers and unclear communication have brought confusion across the sector. The report looks at how the new NDIS supports lists, funding amounts, funding periods and funding components are working.

2024-25 Annual Pricing Review – information session for providers

by NDIS

The National Disability Insurance Agency invites all providers to join an information session on the 2024-25 Annual Pricing Review (APR). The session will be held on Thursday, 24 July 2025 11:30am to 12:15pm. The NDIA will deliver an overview of the key changes that may impact providers delivering direct services – including support coordinators and recovery coaches.

Disability organisations call for accountability from the NDIA

by Disability Advocacy Network Australia

Disability groups have condemned the NDIA for reassessing a person's NDIS eligibility after critical social media posts. They are demanding an independent inquiry and transparency amid fears of retaliation against those who speak out.

Joint statement on NDIA conduct targeting person with disability

by Women With Disabilities Australia

This is WWDA's statement condemning the NDIA for reassessing a participant’s NDIS eligibility after they criticised the scheme online.

Disability representative organisations call for accountability after NDIA conduct targeting person with disability

by People with Disability Australia

This is PWD's statement condemning the NDIA for revoking NDIS support from a participant who criticised the scheme online.

NDIS Travel Guidelines: Your Complete Guide to Accessing Travel Support in 2025

by The Salt Foundation

Many participants find themselves confused by the complex web of NDIS travel guidelines, unsure whether they can claim transport expenses or how much support they’re entitled to receive. These rules operate across two distinct systems: participant transport funding and provider travel arrangements. This guide cuts through the confusion.

Travel Guide (image courtesy The Salt Foundation)

And our final piece on last week’s National Centre of Excellence in Intellectual Disability Health conference, this time from Scope.

Caroline Hart and Annie Loughens focused on co-research – that is, research carried out “with” or “by” people with disability rather than “to”, “about” or “for” them. Research involving people with disability as co-researchers has produced important findings across a range of areas, including health, employment, inclusion, and advocacy. Supporting research conducted by people with disability is an important part of Scope’s work.

The Wrap

The latest stories

Rise in mental health claims a symptom of a bigger malaise

by AFR View

Mental health and insurance providers must fix the system’s entrenched flaws to avoid the worst of the sustainability and affordability crisis ahead.

Let young dementia patients into aged care, says Dementia Australia

by Dementia Australia

The Federal Government should give patients with younger-onset dementia the option of entering aged care, says peak body Dementia Australia. A 2020 government plan set a goal of nobody under 65 living in residential care, except certain patients aged 50-64 who were Aboriginal or at risk of homelessness. However, amid sweeping aged care reforms, Dementia Australia wants access for people under 65 with dementia in special circumstances, especially when they lack National Disability Insurance Scheme funding.

WEmpower launches specialist disability accommodation for those in need

by Port Macquarie News

Individuals with disability in the Port Macquarie region now have greater access to more specialist disability accommodation (SDA).

‘Over-claiming’: Next steps for NDIS boss charged with fraud

by Sunshine Coast Daily

A company director from the Sunshine Coast faces eight charges of fraudulently obtaining money through financial advantage by deception.

The Diary

What’s coming up

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