What the NDIS Funding Ban Means for You: A Guide to Recent Changes and How to Adapt

The National Disability Insurance Scheme (NDIS) is a world-leading program designed to empower people with a disability. However, to ensure its long-term sustainability and integrity, the Australian government has been implementing significant reforms. One of the most impactful changes occurred in October 2024 with the introduction of new legislation and rules that clearly define what can be funded by the NDIS.

These changes were necessary to ensure that NDIS funds are used for supports that are truly "reasonable and necessary" and backed by evidence. While this has been a principle of the scheme from the start, the new rules are much more specific. The changes directly impact participants who were previously using their plans for services and items not supported by a strong evidence base.

This guide will provide a clear, factual overview of what's changed, what's still available, and most importantly, how to confidently adjust your NDIS plan and continue receiving the effective supports you need.

1. What's Changed? The List of Excluded Supports

As of October 3, 2024, a new NDIS Act and its associated rules came into effect. This legislation introduced a clearer definition of what constitutes an "NDIS support." A key outcome of this change is the establishment of a list of items and services that are now explicitly excluded from NDIS funding.

While the new laws apply to everyone, they primarily target services and products that are not directly related to a person's disability or lack a strong evidence base for their effectiveness. The excluded list includes, but is not limited to:

• Non-evidence-based therapies and alternative treatments: This is a major focus of the reforms. Supports such as reiki, crystal healing, cuddle therapy, tarot card readings, hypnotherapy, and other services with no scientific or clinical evidence of their benefit for a person's disability are no longer funded.

• Lifestyle and general living costs: The NDIS has clarified that it is not intended to cover everyday expenses. This includes items like rent, groceries, general household bills (e.g., gas, electricity, internet), standard whitegoods, and holidays.

• Unlawful goods and services: NDIS funds cannot be used for illicit drugs, alcohol, or other illegal activities.

• Certain recreational items: Purchases like concert tickets, standard bicycles, and video games are now excluded. While some of these may be funded under specific circumstances (e.g., as part of an evidence-based therapy or for a specific disability-related purpose), they are no longer covered as general recreational items.

• Medicines and mainstream health services: The NDIS does not fund services that are the responsibility of the mainstream health system. This includes prescription pharmaceuticals, medical and hospital services, and treatments for health conditions that are not related to a person's disability.

This change includes a one-year transition period. If a participant was using their funds for one of these excluded supports, they would not be penalised for mistakes during this time. The goal is to redirect funds to supports that deliver tangible, positive outcomes for participants.

2. What Supports Are Still Available? The Focus on Evidence-Based Practice

The good news is that the vast majority of NDIS supports that have always been funded remain available. The reforms reinforce the NDIS's original purpose: to provide "reasonable and necessary" supports that directly relate to a person's disability and help them achieve their goals.

Supports that are still funded include:

• Evidence-based therapies: These are supports that are clinically proven to be effective. This includes, but is not limited to, physiotherapy, occupational therapy, speech pathology, and psychology.

• Support workers and assistance with daily life: Funding for personal care, household tasks, and community participation remains a core part of the NDIS.

• Assistive technology (AT): The NDIS continues to fund a wide range of AT, from mobility aids and communication devices to home modifications, to help people with a disability live more independently.

• Specialist disability accommodation (SDA): Funding for housing that is specially designed or modified to suit people with significant functional impairment or high support needs remains a key support.

• Plan management and support coordination: These services are crucial for helping participants navigate the NDIS and manage their funding.

The new rules provide greater clarity on what falls under the NDIS and what falls under mainstream services, ensuring that the scheme's funds are used for their intended purpose.

3. How to Adapt Your Plan and Ensure Continued Support

If your NDIS plan includes supports that are now on the excluded list, it is essential to take proactive steps. You do not need to wait for your next scheduled plan review. You can request a "plan reassessment" at any time.

Here are the key steps to take:

1. Review your current plan: Look at your funded supports and identify any that may be on the new excluded list.

2. Gather evidence: If you believe a support you use, even if it's on an exclusion list, is essential and directly related to your disability needs and goals, you may be able to justify it. You will need to provide strong evidence from a qualified professional (e.g., a physiotherapist, occupational therapist, or doctor) explaining why the support is "reasonable and necessary" for you.

3. Contact your support coordinator or the NDIA: Speak with your support coordinator or the NDIA directly to discuss a plan variation or reassessment. They can help you understand your options and guide you through the process.

4. Explore alternative, evidence-based supports: Your support coordinator can help you find alternative supports that are evidence-based and will help you achieve the same goals. For example, if you were using a non-evidence-based therapy, they could help you find a psychologist or allied health professional with a proven track record.

4. Resources and Support

Navigating these changes can be challenging, but you don't have to do it alone.

• Support Coordinators: A support coordinator is an invaluable resource. They are up-to-date with the latest NDIS rules and can provide one-on-one guidance to help you understand your plan and connect you with the right providers.

• NDIS Website: The official NDIS website has detailed information on the new legislation and the lists of what can and cannot be funded. It is the most reliable source for the latest updates.

• Advocacy Groups: Many disability advocacy organisations offer free or low-cost advice and can help you understand your rights and appeal a decision if you disagree with a plan reassessment.

Conclusion

The 2024 NDIS reforms are a significant step towards a more sustainable and equitable scheme. While changes can be unsettling, these updates are designed to ensure that NDIS funding is used effectively to empower participants and achieve positive outcomes.

By understanding the new rules and proactively adapting your plan, you can continue to access the high-quality, evidence-based supports you need. The team at SeeCureTas Disability Services is committed to helping you navigate this new landscape. We are here to guide you, answer your questions, and ensure your supports continue to align with your goals and aspirations.

References & Resources:

• NDIS - Changes to NDIS legislation

• NDIS - Supports funded by the NDIS

• Department of Social Services - What Can't Be Funded?

• NDIS Quality and Safeguards Commission

At SCT, compassionate assistance is more than a service—it is a commitment to empowering participants, helping them navigate daily challenges with confidence, resilience, and a foundation for lifelong learning.