Health
Cost cutting detrimental to local NDIS participants

Member for Riverina Michael McCormack is calling for an immediate stop to the National Disability Insurance Agency’s decision to slash cost limits and travel funding for Allied Health Services.

In its annual pricing review, the National Disability Insurance Agency (NDIA) has taken an axe to the Pricing Arrangements and Price Limits (PAPL) for the National Disability Insurance Scheme (NDIS), cutting the maximum prices that registered providers can charge NDIS participants.

Mr McCormack said the changes, which come into effect from 1 July, would see regional and rural NDIS participants miss out on vital therapies.

“The ill-advised decision to essentially cut NDIS-supported allied health services in the regions will only exacerbate the already inequitable access to treatments in regional and rural areas compared to the city,” Mr McCormack said.

“Allied health services say there was no consultation before this decision was made.

“This is, yet again, another bureaucratic decision made by those based in the urban sprawl with no regard to the real-life consequences that people living in the regions face, such as the tyranny of distance.

“I have been contacted by many allied health professionals across the Riverina electorate, including, but not limited to, speech pathologists, physiotherapists, and occupational therapists who have conveyed their concerns the changes will have on the unique challenges of providing adequate support for those who need it in regional, rural and remote locations.

“These changes will lead to a reduction in allied health services for NDIS clients as providers will not be able to bear the new costs of travelling to remote towns to provide a service which they otherwise would not have.

“I have written to Ministers responsible for the National Disability Insurance Scheme, Mark Butler MP and Senator Jenny McAllister, regarding this issue and hope the Federal Government listens to the pleas of those who are on the ground supporting some of our most vulnerable community members.

“It is imperative that the Federal Government puts an immediate pause on this short-sighted decision to conduct an urgent review into how much these cuts will hurt regional Australians who will be disproportionately and detrimentally affected, particularly on early intervention services for our most vulnerable children.”

Amongst a swathe of changes in the NDIA’s NDIS PAPL 2025-26, there will be a 50 per cent reduction in travel reimbursement and a cut to pricing limits for allied health services, with many service providers saying this will increase the financial strain on them as they claim the current NDIS pricing is already too low.

Many allied health providers are saying these changes will force them to exit the NDIS altogether.