NDIS receives bipartisan support amid mounting costs criticism

Review underway to ensure proper operations

NDIS receives bipartisan support amid mounting costs criticism

Insurance News

By Mika Pangilinan

There is bipartisan support for the National Disability Insurance Scheme (NDIS) despite on-going criticism over ballooning costs, according to a report by the Australian Associated Press.

The cost of the scheme is projected to rise by $8.8 billion over the next four years, reaching as much as $50 billion a year by 2025/26.

Despite this “extraordinary rate” of increase, Prime Minister Anthony Albanese said there is still support “across the parliament” for the scheme to continue.

“We are examining the detail and the operation of the way that the NDIS is operating,” he said during a Friday press conference.

“We will look at ways of how it can operate effective to ensure that the people it was designed to support get the support that they need.”

Victorian Premier Daniel Andrews echoed the sentiment, declaring that states and federal governments have a shared interest in ensuring the viability of the NDIS.

“We often talk about costs but we should not lose sight of the benefits of the scheme as well,” said Andrews. “This is about changing lives and saving lives.”

Social Services Minister Bill Shorten had announced a wide-range review of the scheme last year to examine its design, sustainability, and responsiveness. Results of this review is set to be delivered to the government by the end of October 2023.

The International Monetary Fund (IMF) recently voiced its concerns over NDIS costs and urged the government to review the scheme.

In its annual report on Australia’s economic development and policies, the IMF said NDIS costs stood in the way of successful medium-term fiscal consolidation.

The IMF also encouraged the government to consider a cost-sharing scheme or means-testing of target program beneficiaries to ensure consistent and equitable access to the NDIS.

Responding to the report, Treasurer Jim Chalmers said the NDIS remains to be a top priority for the government.

“When it comes to the NDIS, we want to make sure it is sustainable, so we are providing a decent level of service and care to Australians with [disabilities],” he said. The NDIS is a really top priority.”

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