NDIS changes 2026: what the new bill means for participants — and when

1. Where the bill is right now

The Securing the NDIS for Future Generations Bill 2026 was introduced on 14 May 2026 and its second reading was agreed in the House of Representatives on 28 May, after a series of crossbench amendments were defeated. It has been referred to the Senate Community Affairs Legislation Committee, which holds public hearings from 9 June and is due to report on 16 June 2026.

That sequence matters for participants: nothing in the bill takes effect until it passes the Senate and receives Royal Assent. So while the government has published a detailed commencement timeline (which we set out below), every date in it is conditional. If you read that a change "starts 1 October 2026," read it as "is scheduled to start 1 October 2026, if the bill passes."

2. The new way onto the scheme: functional capacity and "all appropriate treatment"

The most significant change is to access — how someone qualifies for the NDIS in the first place. The bill defines "functional capacity" and bases eligibility on a new standardised functional-capacity assessment, rather than the current mix of diagnosis and evidence. It also introduces an "all appropriate treatment" test: to be eligible, a person would need to show that all appropriate treatment for their condition has been undertaken, that no further treatment is likely to materially improve the impairment, and that the impairment is likely to be lifelong (Guardian, 13 May 2026).

A Technical Advisory Group is being established in mid-June 2026 to design the functional-capacity assessment process. The new access test is planned to apply to new applicants from 1 January 2028, with existing participants reassessed over roughly three years. The government's own Treasury modelling attributes about $9.3bn of the savings to tightening access this way (ABC, 5 June 2026).

3. What happens to plan budgets

For people already on the scheme, the change that will be felt soonest is to plan funding. From 1 October 2026, as plans are reassessed and renewed, budgets for social and community participation and some capacity-building daily-living supports are progressively reset. The ABC has reported forecasts of a reduction of around half in those particular budget lines; the tabled Treasury modelling attributes about $13.2bn — roughly 60% of the total savings — to lower participant community-participation and therapy budgets (ABC, 5 June 2026).

Two structural changes accompany this. From around 1 February 2027, plans gain end dates and renewal processes, and unspent funds will no longer roll over from one plan to the next. The bill also limits unscheduled plan reassessments, so that only a participant, their nominee or guardian can request one. If you currently rely on carrying a buffer of unspent funding between plans, this is the change to understand early.

4. Children aged 8 and under: Thriving Kids

Families of young children face a separate pathway. Thriving Kids is a $4 billion program for children aged 8 and under with developmental delay or autism and low-to-moderate support needs. Rather than going onto the NDIS, those children would be supported through mainstream settings — GPs, child health services and early-childhood education — with no diagnosis required and no gap fees for physiotherapy and speech pathology. Children with high or "substantially reduced functional capacity" needs would still access the NDIS.

The phased rollout begins 1 October 2026, with the program planned to be fully operational nationally — and access changes applying to new 0–8 applicants — from 1 January 2028. Children already enrolled before that date are reassessed under the earlier criteria. Disability advocates have cautioned that some families report their children's plans are already being trimmed while the alternative supports are not yet fully in place, which is the single biggest "watch this" item for parents.

5. What it means for providers

If you run or work for an NDIS provider, the reform package brings a registration timeline that is worth diarising now. Under the government's plan:

• From 1 July 2026 — mandatory registration begins for Supported Independent Living (SIL) and platform providers.
• From 1 July 2027 — mandatory registration expands to higher-risk activities (personal care, daily-living supports, closed settings), with all in-scope providers registered by December 2030.
• By December 2027 — a new enrolment system captures basic details on most other providers.
• From 1 October 2027 — a new panel of plan-management providers, with a six-month transition.

The bill also expands the NDIA's fraud, compliance and information-gathering powers. For honest providers the practical effect is more documentation and tighter claiming; for participants it is intended to reduce the "integrity leakage" the government puts at around $3.7bn last financial year.

6. Who decides prices now

A quieter but important governance change: the bill makes the Minister the decision-maker on NDIS pricing, a role currently performed independently within the NDIA. Supporters argue it brings accountability; critics worry it politicises the price limits that determine what every support costs. Notably, the tabled Treasury modelling attributes only about $0.9bn (2.4%) of the savings to the pricing and related fraud measures — a point at the centre of the current debate (ABC, 5 June 2026). For day-to-day rates, the current 2025-26 price limits still apply; see our NDIS price guide for the live figures.

7. The money — and the "is it about fraud?" question

The scheme currently costs around $50bn a year and supports about 760,000 people. The government's stated aim is to slow growth from a 2022-23 peak of nearly 23% to about 3.6% a year, with participant numbers settling near 600,000 by the end of the decade. The savings figure depends on the source: the Budget headline is about $36.2bn to 2030, while Treasury modelling tabled in the Senate puts it at $38.1bn over four years — we quote both rather than blend them, because they measure different periods.

Much of the public debate (including a pointed Senate estimates exchange on 4–5 June) is about how the package has been framed. The government has emphasised fraud and integrity; the tabled modelling shows the large majority of savings come from tighter access and lower participant budgets, not from anti-fraud measures (ABC, 5 June 2026). Twelve disability representative organisations — including PWDA, AFDO, CYDA and DANA — lodged a joint submission on 1 June recommending the bill not proceed in its current form until foundational supports are demonstrably operational and stronger safeguards are in place (PWDA, 1 June 2026).

The timeline at a glance

Drawn from the government's published reform timeline. All dates are planned and depend on the bill passing the Senate.

What participants should do now

There is no need to act on anything that is not yet law, but a few sensible steps:

1. Know your plan dates. If your plan is due for reassessment after 1 October 2026, that is when budget changes would first apply to you. Note the date.
2. Don't bank on rollover. If you have unspent funds you were planning to carry forward, factor in that rollover is slated to end from early 2027.
3. Keep your evidence current. Updated functional and treatment evidence will matter more under the new access test — useful at your next review regardless of the bill.
4. Families of under-9s: follow Thriving Kids closely and ask your early-childhood partner what is available in your area now, not just from 2028.
5. Stay connected to providers. A good provider, support coordinator or plan manager will help you navigate a reassessment. You can find and compare NDIS providers on ProviderScout — free, and always free for participants.