State and territory treasurers say they were given insufficient detail in a key briefing on major National Disability Insurance Scheme (NDIS) reforms just one day before the federal government is expected to unveil measures aimed at saving billions of dollars.
The reforms, to be announced Wednesday, are designed to slow the scheme’s rapid growth, with costs projected to double to $100 billion a year by 2036 if no action is taken.
Following a meeting with federal Treasurer Jim Chalmers, Queensland reiterated its opposition to the proposed $4 billion “Thriving Kids” program, which would divert children with autism away from the NDIS and into a new state‑run support system that does not yet exist. Despite media reports, one state source said Chalmers did not threaten to make states bear the cost of NDIS overspending if they refused to adopt the plan.
The lack of clarity leaves one of the federal government’s biggest savings measures unresolved even though the new system is due to begin in just six months, and NDIS Minister Mark Butler is preparing to announce another round of reforms that will also require state cooperation.
Queensland has resisted Thriving Kids partly because it fears the Commonwealth’s funding offer will not cover the true cost of running the program, potentially leaving the state financially exposed.
With Wednesday’s announcement looming, states say they are concerned about being blindsided by reforms that could shift responsibilities and costs onto them without adequate consultation.
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