Tough love for the NDIS under Butler's new rules
'A period, as all parents know, that involves the maturing of our beautiful children. But a period which is also full of risks that things will run off the rails without a judicious dose of supervision and management.'
As the scheme's new guardian, Butler used his first national address to set some ground rules for its next phase of development.
First, a new growth target: the scheme's financial trajectory will be brought down to between 5 and 6 per cent a year, on par with its portfolio siblings, health and aged care. The government is still aiming for 8 per cent next year, as national cabinet agreed, but wants it to slow further after that.
Loading
Second, eligibility requirements: these will be tightened from July 2027, specifically for children with mild or moderate developmental delays and autism. Those children, who have come to make up the majority of new NDIS participants, will be diverted onto a scheme called 'Thriving Kids'.
There was an air of tough love about Butler's speech on Wednesday. 'They are precious. We all love them. They're our future,' he said of Australia's children.
'I know this will be hard for some parents to hear, and I don't say it lightly. But we do need, as a matter of urgency, to create a better system that will enable our children to thrive.
'Diverting this group of kids over time from the NDIS is an important element of making the scheme sustainable and returning it to its original intent.'
Hashtags

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles


Perth Now
8 hours ago
- Perth Now
‘Time has come': New EV road charge closer
Progressing road user charging and clearing a backlog on homes awaiting environmental approvals are among the 10 immediate reform directions to result from a three-day roundtable aimed to boost Australia's ailing productivity levels. Speaking after talks ended on Thursday, Jim Chalmers said there was 'a lot of conceptual support for road user charging', however no final model had been settled. The next steps will involve presenting an options paper to state treasurers at a meeting in two weeks on September 5, which would be drafted by NSW Treasurer Daniel Mookhey, Infrastructure Minister Catherine King and other relevant ministers. 'The model is not determined, but the key considerations are what's in and out and whether that's sequenced or not and over how long a time period,' he said. 'Treasurer Mookhey was very informed and very constructive on this question and really right around the table people had a view that this is an idea whose time has come and so we will do that work.' The charge, which would likely capture EV drivers currently exempt from the fuel excise, would reform how the government collects revenue to fund road maintenance and infrastructure upgrades. Jim Chalmers said there was 'a lot of conceptual support' for a road user charge, however the final model had yet to be decided. NewsWire / Martin Ollman Credit: News Corp Australia Other short-term reform initiatives involve fast-tracking deadlocked reforms on the Environment Protection and Biodiversity Conservation (EPBC) Act to speed up approvals for projects while protecting the environment, and further work to remove nuisance tariffs and regulation reductions. Speeding up housing approvals was another 'quick win' which achieved consensus following 29 hours of discussions, with Environmental Minister Murray Watt set to work with Housing Minister Clare O'Neil to speed through the 'backlog of environmental approvals for new homes, most likely in the tens of thousands'. Longer-term reform areas included investigating prefabricated and modular housing, plus more modern methods of construction to increasing housing supply. Mr Chalmers also highlighted three priority areas of tax reform, which dominated the last day of talks, and appeared to achieve little consensus beyond agreement on the need for reform. This included improving intergenerational equality, 'affordable, responsible' offsets to 'incentivise business investment', and a simpler and more sustainable system to fund services such as aged care and the NDIS. 'There are hundreds of different changes you can make to the tax system. Some of them obviously unpalatable to our government or to governments broadly,' he said. 'But what they wanted to do was to give us the guidance that they will help us in those three areas to do the work that we need to do to inform future budgets.' Mr Chalmers also identified 10 areas of immediate reform following three days, and about 29 hours of talks. NewsWire/ Martin Ollman Credit: News Corp Australia Speaking more broadly about the roundtable, which had been criticised as a 'talkfest' and a 'stitch up' by the opposition, Mr Chalmers said he 'finished the three days more optimistic than I was at the start'. He also praised participants for working through the issues in a 'methodical, considered, consultative way'. 'I'm genuine when I say at the end of that three days I looked around the table and I saw people of, you know, big achievers in their own areas representing workers, business CEOs, academics, economists, public servants and others,' he said. 'I drew great strength and confidence from their contributions because not because they had some kind of faux camaraderie, but because they take the challenge so seriously.'

ABC News
8 hours ago
- ABC News
States expected to match $2 billion autism pledge
After announcing a new program to divert children with autism from the National Disability Insurance Scheme, the NDIS Minister Mark Butler has shocked some state governments with a demand they match the Federal Government's $2 billion of funding for the program. Experts believe a 2027 roll-out for the program is a tight deadline.


West Australian
9 hours ago
- West Australian
Economic Reform Summit: Chalmers' experts agree spending needs to get under control
Delegates at Treasurer Jim Chalmers' reform summit have agreed there are serious concerns with the pace of public spending growth across State and Federal governments. There was widespread acknowledgement of those budget challenges at Thursday morning's session in Canberra, Committee for Economic Development of Australia economist Cassandra Winzar said. While she said much of the increased spending had been necessary during the COVID-19 crisis, ongoing demands in health, aged care and disability were adding pressure. 'We need to shift away from that government-led growth towards private sector growth,' she said. The roundtable had also broadly agreed that spending would need to be restrained and new revenue sources unlocked to plug the gap, Ms Winzar said. Economists have been warning the huge uplift in government spending added to cost of living pressure and has weighed on productivity. The Federal Government this week announced funding cuts to the National Disability Insurance Scheme to help get the sprawling program under control. Commonwealth spending has increased 63 per cent since the 2019 financial year, the last before the pandemic. But the largess has extended to the State Government, with The West Australian previously revealing spending growth in the 2024 financial year was at the second-highest level in 15 years . Ms Winzar said there had also been broad agreement about the benefit of data sharing across governments to improve services. That would be particularly relevant to help improve support for vulnerable Australians and co-ordinate access to services such as social housing, Centrelink and healthcare, she said. An example was WA's 100 Families pilot program which tracked households 'experiencing entrenched disadvantage' and built a research data set. Previous CEDA research has recommended linking up data between human services providers across the country to help design and evaluate programs to reduce poverty.