Changes to NDIS Legislation

Changes to the NDIS

There has been a lot of talk in community and in the media about these changes and what they mean.

We know for some people change can cause uncertainty, so we want to keep you informed about the changes and what they mean for you.

The National Disability Insurance Agency (NDIA) will support you through the changes. You can visit their website Changes to NDIS legislation.

This page will also help you understand what you need to know now:

• what’s changing
• when changes will happen
• where you can get more information.

New rules under development

We are working with the state and territory governments to develop new rules under the NDIS Act 2013, sections 44(3), 74(6) and 47A and 48(5).

Management of funding rules - 44(3) and 74(6)

These rules are about who manages a participant’s plan.

NDIS participants can ask for their plan to be managed by a particular person or in a particular way. We call this a plan management request. The NDIA must accept a participant’s plan management request unless the NDIS Act or rules give them a reason not to. 

The NDIS Act sets out things the NDIA needs to consider when deciding whether to accept a plan management request, including if it would create an unreasonable risk to the participant. The new management of funding rules add details to support the NDIA’s decision making.

These rules also bring all rules about plan management together.

Variation and reassessment rules - 47A and 48(5)

These rules are about when the NDIA should do a plan variation or reassessment.

NDIS participants can ask for a variation or reassessment at any time. The NDIA can decide to vary or reassess a plan at any time.  

Variations are when changes to a participant’s NDIS plan can be made without replacing the plan.  

Reassessments are when the NDIA creates a whole new plan with a participant that has a new end date.  

The NDIA may only change a participant’s plan if the NDIS Act allows the variation, and if the variation meets any conditions set out in NDIS rules.

The variation and reassessment rules set out when the NDIA can change a participant’s plan through a variation. They also set out things the NDIA must consider when deciding whether to vary or reassess a plan. 

Rules for variations and reassessments already apply to how NDIS plans are made. Later in 2025 we will consider rules about how variations and reassessments are made in the new approach to planning.

Engagement with the disability community

The NDIA held engagement sessions with participants, nominees, child representatives and members of disability representative and carer organisations to hear their views on these new rules. The sessions ran from July to September 2024. They covered how the NDIA makes decisions about managing funding in a participant’s plan. The sessions also discussed supports and safeguards to reduce the risk of inappropriate spending and any risk of harm related to a participant’s circumstances. 

Together with the NDIA, we held 10 consultation sessions about plan variations and reassessments from 11 to 25 November 2024. These sessions focused on the purpose of the new rules and how we will use them. 

Stakeholders we consulted with included members from:

• NDIS Independent Advisory Council
• Disability Representative and Carer Organisations 
• Implementation Steering Committee
• Participant Safeguarding co-design Group
• Participant Reference Group
• National Mental Health Sector Reference Group
• Assessment and Budgeting Working Group
• First Nations stakeholders
• Integrity Working Group
• Neurodegenerative, Palliative Care and Rare Diseases Advisory Group.

We also consulted with state and territory governments through the Disability Reform Ministerial Council. 

We used this feedback to shape the new rules and how they will be used by the NDIA.  

Read more about the NDIA’s consultation and co-design work.

Questions and feedback on the new rules

If you have any questions or feedback about what these rules mean or how the rule should be implemented, email NDISConsultations@dss.gov.au.

New management of funding rule under section 44(5)

We are pleased to have worked with the states and territories on the development of a new rule under section 44(5) of the NDIS Act 2013. This new rule commenced on 17 December 2024. It will support participants to use their plan funding in line with their plan.  

Recent changes to the NDIS Act require the National Disability Insurance Agency (NDIA) to make rules guiding how it will consider whether a person is likely to spend NDIS funds in line with section 46, in making decisions about managing funding for supports under a plan.

Section 46 of the NDIS Act requires funding in a plan to be spent only on ‘NDIS supports’ and ‘in accordance with the participant’s plan’. The rule will assist the NDIA to understand whether a person is likely to manage funds in line with these requirements, and if not whether a different plan management arrangement should be considered.

Currently there is no legislative guidance about how the NDIA should consider section 46 when deciding whether to approve a plan management request. This Rule will guide these decisions and introduce consistency and equity in the process.

What the s.44(5) rule will do

The new rule will assist the NDIA in identifying risks and applying appropriate safeguards about risks of a person not spending in accordance with a participant’s plan.

It is based on current policy and practice and was informed by consultation with self-managers about the current Self-management policy.

It will introduce equity in decision making across plan management types including nominees, registered plan management providers, child representatives and participants. 

The section 44(5) rule supports a more proactive and consistent approach to identifying risks, applying appropriate safeguards, and supporting delegate decision-making when determining the plan management decision. 

Implementation of the rule by the NDIA will include capability building supports for participants to support spending in accordance with their plan and reduce the risk of inadvertent or unintentional spending.

Engagement with the disability community on the s.44(5) rule

The rule commenced following co-design work and engagement on plan management decisions led by the NDIA.

From July to October 2024, the NDIA led codesign and engagement sessions about how decisions are made about plan management and how supports and safeguards can be used to reduce the risk of harm to participants if there is inappropriate spending. While this rule has not specifically been co-designed it has been informed by this earlier co-design work about the broader NDIS reforms.

Governments remains committed to codesign and consultation with the disability community in the development of new rules under the National Disability Insurance Scheme Act 2013 (NDIS Act) and are working to develop an engagement plan with the disability community.

Questions and feedback on the new s.44(5) rule

If you have any questions or feedback about what the rule means or how the rule should be implemented, please email NDISConsultations@dss.gov.au.

Changes to NDIS supports

From 3 October 2024, there is a new definition of NDIS supports. The Government has released the lists of what NDIS participants can and cannot spend their funding on.

If you make a mistake and buy supports that are not NDIS supports, the NDIA will work with you to help you understand the new rules and access supports that are NDIS supports.

Section 33 changes

Changes to the NDIS Act introduce funding amounts, funding components and funding periods and allow the Minister to make a determination under section 33(2E), that sets out how funding in a participant’s plan will be determined.

The new National Disability Insurance Scheme (Old Framework Plans) Determination 2024 (Section 33 Determination) sets out what things the NDIA needs to consider when they are working out:

• how to categorise a participant’s supports into groups
• the funding period.

Miscellaneous Provisions Transitional instruments

The Miscellaneous Provisions Transitional Rules provide for a number of transitional arrangements. To access the legislative instruments for Miscellaneous Provisions visit the Federal Register of Legislation via the links below.

• Miscellaneous Provisions Transitional Rule 2024
• Miscellaneous Provisions Explanatory Statement.

Impact on reviews in the Administrative Review Tribunal 

We have updated our factsheet to help people understand how changes to the NDIS Act will impact on with NDIS appeals currently before the Administrative Review Tribunal.

It has been updated to take into account important updates that have occurred since the previous version was published.

Disability Reform Roadmap 2024 and 2025

A Disability Reform Roadmap has been created which demonstrates the key actions the government will take across 2024 and 2025 to deliver commitments for the disability and NDIS reform agenda, including planning and implementation stages of changes relating to the NDIS Act 2013.

Visit the Disability and Carers page to learn more about the key actions and the Disability Reform Roadmap 2024 and 2025.

Visit the Disability Reform Roadmap 2024 and 2025 to view the roadmap.

Engagement on the NDIS Reforms

The former Minister for the National Disability Insurance Scheme, the Hon Bill Shorten MP, released a Ministerial Statement on proposed consultation for new NDIS rules and legislative instruments. The statement confirms the Government’s commitment to close engagement and co-design with people with disability and recognises the importance of the role of States and Territories in co-governing the NDIS alongside the Commonwealth.

For more information read the Ministerial Statement.

More information about the co-design approach, including specific opportunities for consultation and engagement is available will be published in the coming weeks.

The NDIS journey

Learn more about the NDIS at the NDIS Review website or by viewing the following resources.

Stay Updated

We are working together with the National Disability Insurance Agency (NDIA) to improve the NDIS. Read our Frequently Asked Questions.

Join NDIA Participant First

The NDIA wants your ideas and feedback. You can help make the NDIS better by joining Participant First.