NDIS Changes 2026: What Families Need to Know

The latest proposed changes to the NDIS have created a lot of questions for families, carers and providers across Australia.

One of the biggest headlines is the government’s plan to reduce the number of people accessing the NDIS by around 160,000 participants over the coming years, as part of broader reforms designed to slow the growth of the scheme.

As a founder, former teacher, and someone who speaks with families every day, I know uncertainty is often the hardest part — especially when many of the finer details are still being worked through.

What has been announced so far?

• Future eligibility may rely less on diagnosis alone
• Functional assessments are expected to play a bigger role in determining who qualifies
• Existing participants may be reassessed when plans come up for renewal
• Average plan budgets may tighten across some categories
• Some people may be redirected into state-based supports instead of the NDIS

The government says these changes are aimed at making the scheme sustainable long term, with projected costs reduced from around $70 billion to $55 billion by the end of the decade.

What does a functional assessment mean?

A functional assessment looks at how much support a person needs in daily life - not just their diagnosis, but how they manage everyday activities such as:

This means showing how a support helps in everyday life may become even more important moving forward.

What families can do right now

At this stage, the legislation has not yet passed, and many practical details are still unknown.

• Keep notes on daily challenges and support needs
• Make sure therapist recommendations clearly explain functional impact
• Gather examples of what supports genuinely help at home, school and in the community
• Prepare early for plan reviews rather than waiting until renewal time

Why practical supports still matter

The NDIS may be changing, but the daily needs of children, adults and families are not.

Supports that help with calm, focus, sleep, sensory regulation and participation continue to play an important role in daily life - and clear evidence of that real-world impact may matter more than ever.