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It seems not a week goes by that we aren’t peppered with headlines reminding us of just how expensive the NDIS is for the nation.

The latest reminder arrived last week in the form of a new report from the respected Grattan Institute, an independent policy think-tank.

Titled ‘Saving the NDIS: How to rebalance disability services to get better results’, the report lays out how the government can make the scheme sustainable while still ensuring people with disability receive the support they need.

What does the report say about the NDIS?

“The NDIS is a vital part of Australia’s social fabric. But the scheme has grown too big, too fast” the report states.

It’s unequivocal that the scheme is putting pressure on the economy, and that increasing spending on the NDIS has not meant better results for disabled people.

The report also notes how little support there is for people with disability who are not on the NDIS, and the way supports within the scheme are “poorly suited to what some people… actually need”.

And it adds in no uncertain terms that the government’s plans to reduce the NDIS’ growth to eight per cent is not enough to make it sustainable long-term.

How does the report recommend fixing the NDIS?

The Grattan Institute suggest four policy changes to save the crucial scheme:

  • Firm boundaries around who can access the scheme and what needs it will meet
    • The Institute recommends strengthening eligibility criteria, considering whether the NDIS is the best system for an applicant’s needs, and removing diagnosis-based access lists.
  • Change the way budgets and claims are managed to make it fairer, more consistent and more predictable, and give participants more choice and flexibility.
    • The Institute recommends replacing the interim Section 10 rule with one that would enable participants to be more creative and flexible with their plan.
  • Establish foundational supports, and deliver them using targeed funding from the NDIS’ budget.
    • To do this, the Institute suggests moving “a modest proportion” of individualised funding to foundational supports, and commissioning targeted supports for children close to home, and integrating those for people with psychosocial disability with existing government services.
  • Create a National Disability Agreement that brings together and clarifies the relationship between different aspects of disability policy.

By implementing these, the Institute says the government could reduce the cost of the NDIS by around $12 billion over the next 10 years.

It would also save another $34 billion on foundational supports.

It says its plan would also improve the NDIS experience for people with significant disabilities, as well as providing efficient and effective support for other disabled people through foundational supports.

Read the full report on the Grattan Institute’s website.