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Your Budget 2017-18

Filter information on Budget 2017-18 by selecting the topics you're interested in.

Guaranteeing the essentials

Protecting and boosting the essential services Australians rely on

Protecting disability services

Full and sustainable funding for the National Disability Insurance Scheme

The Commonwealth will fully fund its contribution to the National Disability Insurance Scheme, giving Australians with permanent and significant disability, and their families and carers, certainty that this vital service will be there for them into the future.

To help fund the scheme, the Government is asking Australians to contribute, with the Medicare levy to be increased by half a percentage point from 2 to 2.5 per cent of taxable income. This means that one-fifth of the revenue raised by the Medicare levy, along with any underspends within the NDIS, will be directed to the NDIS Savings Fund.

The Government’s decision to increase the Medicare levy from 1 July 2019 reflects the fact that Australians have a role to play, in accordance with their capacity, to ensure this important program is secure for current and future generations.

The NDIS is on track to be fully rolled out from 2020.

States and Territories will be expected to maintain their commitment and contribution to the NDIS and continue to support mainstream services for people with disability.

More than $200 million will be provided to establish an independent NDIS Quality and Safeguards Commission to oversee the delivery of quality and safe services for all participants of the NDIS. The Commission will support NDIS participants to exercise choice and control, ensure appropriate safeguards are in place, and establish expectations for providers and their staff to deliver quality supports. The Commission will perform three core functions: regulation and registration of providers; complaints handling; and reviewing and reporting on restrictive practices.

Fully funding the NDIS

This chart shows the Commonwealth’s estimated contribution to the NDIS from 2019-20 to 2027-28 and that with the funds directed to the NDIS Savings Fund, the NDIS is fully funded over the medium term. From 2019-20, when the NDIS will reach full scheme and the Medicare levy will increase, the Commonwealth’s NDIS contribution will come from repurposing existing Commonwealth disability spend, the Commonwealth’s share of the Disability Care Australia Fund, from 1 July 2019 one-fifth of the Medicare levy, and underspends and realised saves credited to the NDIS Savings Fund, including the uncommitted funds from the Building Australia Fund and the Education Investment Fund. The combination of these funds, in the chart, brings the NDIS Savings Fund shading just above the Commonwealth’s estimated contribution to the NDIS.

Note: The NDIS Savings Fund includes one-fifth of the Medicare levy from 1 July 2019, underspends and realised saves redirected to the NDIS Savings Fund, and uncommitted funds from the Building Australia Fund and Education Investment Fund.

The Government will also invest $33 million over three years to help existing service providers in the disability and aged care sectors grow their workforce. This package will deliver jobs for Australians in rural, regional and outer suburban areas that require strong workforce growth as a result of the NDIS roll out.

The scheme’s cost sustainability is being examined in the Productivity Commission’s review of NDIS costs. Due to be released in September 2017, it will examine factors affecting costs and will help inform the final design of the full scheme.

The NDIS reaches full scheme in your state by:

NDIS Timeline