Australia's proposed NDIS cuts could push 240,000 participants off the scheme, inquiry told

ABC said Rebecca Falkingham, chief executive of the National Disability Insurance Agency (NDIA), told a Senate Community Affairs Joint Committee hearing in Canberra on Thursday that the current draft amounts to a 27 per cent fall in participants. The government's target of A$12bn savings by financial year 2027 had been announced as a budget strategy by Treasurer Jim Chalmers. An age-indexed psychiatric diagnosis criterion for children stands out as the most contested new eligibility test.

ABC reported Disability Rights Australia director Catherine McAlpine told the committee "this figure poses a serious threat to the social fabric". Social Services Minister Amanda Rishworth said the criteria would "focus the scheme on citizens with the highest need". Liberal Party opposition spokesperson Michael Sukkar said "the question of what replacement health system applies remains unanswered".

The Centre for Independent Studies estimated 30,000 health workers and providers would be affected by the cuts. The state governments of NSW and Victoria announced they would build a parallel state-level funding framework. The Australian dollar moved 0.1 per cent against the US dollar to 0.6452. Not investment advice.