Published 12 August 2026, updated 20 August 2026
A lot is going around in support worker groups about hours being cut. Some of it is true, some of it is not. Let us separate the two.
WHAT HAS BEEN PROPOSED
The government published guidance on 15 July 2026 setting out a proposed reduction to participant budgets:
Social, civic and community participation budgets: reduced by 50%
Capacity building daily activity budgets: reduced by 10%
Proposed start: 1 October 2026
Applied progressively, as each plan is renewed or reassessed, over roughly 12 months
Critical daily living supports and continuous 24/7 supports are listed as excluded from the reduction.
IS THIS LAW YET?
Not yet, but it is much closer than it was. The amendments were agreed to in the House of Representatives on 1 July 2026. On 18 August 2026, the Senate Community Affairs Committee recommended the Bill be passed, and the Senate moved the final amendments the same day. This is still not final assent, but the Bill is moving forward with real momentum.
These final amendments also brought in protections that were not there in the original version:
A new 90 day plan variation pathway for people who need continuous 24 hour support
Exclusion of high intensity supports, complex behaviour supports, customised wearable technology and hearing supports from the proposed reduction
We will keep updating this page as the process moves forward.
WHAT THIS IS NOT
This is the part causing the most confusion.
It is not a cut to NDIS price limits. The maximum prices stay the same. If you charge $73.58 an hour for a weekday shift, you still charge $73.58 an hour.
What is being proposed is a reduction in the amount allocated in the participant's plan for that category. The hourly price does not change. What may change is how many hours a participant can fund.
WHAT THIS MEANS FOR YOU IN PRACTICE
If most of your work is community access, it is worth preparing for three things.
- Fewer hours per participant, gradually. This does not happen overnight. It follows each plan renewal, so the impact lands at a different time for every client.
- More conversations about money. Some participants will ask you to stretch the budget. That usually turns into a request for a discount, unbilled hours, or a note that is not quite accurate. Decide where your line is now, before you are in the middle of that conversation.
- More competition for hours. If the pool shrinks, the relationship you have built and the quality of your records start to carry more weight in a participant's decision.
WHAT TO DO OVER THE NEXT FEW WEEKS
Know when each plan ends. Write down the renewal date for every client. That date determines when the change reaches them, if it goes ahead.
Check your service agreements. Look at whether yours describes fixed hours or hours subject to available funding. The second gives everyone more room to move.
Do not change your prices without a conversation. Any change to your rates needs to be discussed with the participant before it takes effect.
Keep your records up to date. When budgets tighten, the record of what was done and why it was needed is what supports the case for continuing.
WHERE WE STAND
The process has moved on a fair bit since we last updated this page. With the Senate committee's recommendation and the new safeguards now included, the chance of this becoming law is a lot higher than it was in July. It is still not final assent, but anyone working in community participation should be actively preparing, not just watching from a distance.
What you can do now is stay organised, know your clients' plan dates, and keep clear records.
Official source:
National Disability Insurance Scheme Amendment (Securing the NDIS for Future Generations) Bill 2026 – Parliament of Australia
Department of Health, Disability and Ageing, changes to the NDIS.