Changes within NDIS and Moving Forward into 2027
Social and daily living supports are being reset from October 2026. Here is what it means for your plan, and why talking to your support coordinator now helps.
In the 2026-27 Budget, the Australian Government announced it would reset funding for some NDIS supports from 1 October 2026. This will impact budget allocations in participant plans for:
- social, economic and community participation supports
and
- improved daily living skills supports. These changes will be introduced gradually over 12 months from 1 October 2026 when a participant's plan is created, reassessed or renewed.
Only the above two-line items in an individual plan will be impacted and will mean a huge shift for some of our clients and their families.
Why is the Government making this change?
Over time, funding for social, economic and community participation and improved daily living skills supports has grown significantly. These supports also continue to be funded at a far higher level than any other comparable support program.
These changes are being made now to Social and Community funding with allied health so the sustainability of the NDIS program can be protected for generations to come.
How may this change affect your budget?
The changes to social, economic and community participation supports funding will take average spending levels back to where they were in 2023. The impact of this change will be different for every participant because every NDIS plan is based on individual goals, circumstances and support needs, and many people do not spend their entire plan. It is expected that the following will occur;
This will reduce the amount available in participants' plans by:
- 50% for social, economic and community participation supports
- 10% for improved daily living skills supports.
Plan Renewals: All participants who receive funding for social, economic and community participation and improved daily living skills supports and have not had a plan created or reassessed since 1 October 2026 will have their plan renewed by 30 September 2027.
The NDIA will contact participants 60 days before their plan renewal. If a participant's scheduled reassessment date is before 1 October 2027, this will be the renewal date.
If a participant's scheduled reassessment date is on or after 1 October 2027, this will be brought forward to occur on or before 30 September 2027.
What about the other categories in NDIS plans?
The subgroups of supports that will not be impacted are:
- Supports in employment
- Disability-related health supports
- High intensity supports
- Intensive and complex behaviour supports
- Customised and wearable technology
- Hearing services.
When applying the funding changes, the NDIA will check if a participant's plan has supports from the list above. If a participant's plan has these supports and a payment has been made for them, the reduction will not apply to those supports. Participants don't need to give the NDIA any extra information. From 1 October 2026, as participant plans are renewed or reassessed, they will clearly identify the funding that is not affected by these changes.
If you need help navigating these changes, please have a chat with your current support coordinator and they will help you understand how best to navigate the changes you will be experiencing over the next 6 months.
This can be an anxious time for individuals, especially those with little informal supports in their life, and they do rely heavily on social and civic funding or regular allied health interventions to ensure they are being supported effectively at home and in the community. Its best to speak up and hold these conversations now so you can be prepared for your next plan re-assessment.