NDIS Quarterly Report: Positive Outcomes and Cost Stabilisation

NDIS Quarterly Report: Progress in Funding and Participant Outcomes

The latest NDIS (National Disability Insurance Scheme) Quarterly Report highlights significant progress, showcasing cost stabilisation and improved outcomes for participants, their families, and carers. This includes more parents gaining paid employment and participants actively engaging in their communities.

As of 30 June 2024, the NDIS supports over 661,000 Australians, demonstrating positive trends:

52% of families and carers now report paid employment, surpassing the 2023-24 target of 50%.
76% of participants aged 15 and over feel the NDIS has helped them gain more choice and control, exceeding the target of 75%.
Increased participation in community and social activities.
A rise in supports provided to First Nations people, with 9.9% of the 14,000 new participants identifying as First Nations Australians.

Rebecca Falkingham, CEO of the National Disability Insurance Agency (NDIA), emphasised the progress, noting the importance of reforms designed to enhance outcomes while ensuring sustainability.

“Our vision is to deliver the best outcomes for participants and create a sustainable Scheme,” Ms Falkingham said.

Key Updates on NDIS Funding and Reforms

The 2023-24 Budget allocated over $720 million, with an additional $468.7 million in the 2024-25 Budget, driving initiatives to improve the Scheme’s sustainability. Recent data reflects these changes:

Expenses reduced by $600 million, compared to the 2024-25 Budget estimate.
Continued stabilisation of plan inflation, with levels lower than those observed since September 2022.
Participants are transitioning out of the Scheme as early support meets their needs.
34,850 participants are in supported independent living (SIL), with numbers stabilising.
Fewer participants are at risk of overspending their NDIS funds.

These reforms were developed in collaboration with the disability community, ensuring the voices of people with disabilities remain central to the NDIA’s decision-making process.

Two key initiatives were announced to enhance co-design efforts:

$10.7 million funding boost for 27 Disability Representative and Carer Organisations (DRCOs).
A co-design approach involving the NDIA, DRCOs, the Department of Social Services, and the NDIS Independent Advisory Council.

Addressing Under-Use of NDIS Funds: A Closer Look

One critical challenge for many NDIS participants is the under-use of NDIS funds, often referred to as the utilisation rate. This rate compares the total dollar value of a participant’s allocated budget to the amount actually spent on support.

According to the latest NDIS data, the national average utilisation rate is 75%. However, this average masks significant disparities, with 32% of participants spending less than half of their allocated budgets. Geographic differences contribute to these challenges. For instance, participants in East Arnhem in the Northern Territory have an average utilisation rate of just 47%.

Utilisation Across Funding Categories

NDIS plans are divided into three key funding categories, and utilisation rates vary significantly across them:

Core Supports: Designed for everyday activities, this category has a national average utilisation rate of 81%.
Capacity Building: Aimed at fostering independence and skill development, the utilisation rate drops to 59%.
Capital Supports: Covering major purchases like equipment and home modifications, the utilisation rate is even lower at 56%.

While Core Supports see higher usage, challenges are most evident in Capacity Building and Capital Supports. Participants often report difficulties in securing approvals for critical supports such as home modifications or high-cost assistive equipment, even when these are included in their plans.

The Impact of Under-Utilisation

Under-use of NDIS funds means many participants miss out on the essential support they need to achieve their goals, build independence, and improve their quality of life. Barriers such as complex approval processes, regional disparities, and a lack of tailored guidance prevent participants from making full use of their plans.

How Plan Manage Assist Can Help

At Plan Manage Assist (PMA), we specialise in proactive fund management to ensure participants avoid underutilising their NDIS funds. By providing reports at 50%, 70% & 90% plus monthly reports, we are tracking your utilisation of funds. This helps participants monitor their spending and budget accordingly to achieve their goals and aspirations.

• Firsthand Experience: With deep knowledge of the NDIS, we understand how your NDIS funding works, and we can guide you through the complexities of how to manage your NDIS funds
• Personalised Service: You’ll always have an experienced plan manager to talk to who understands your needs.
• Proactive Fund Management: We manage your NDIS funds with care, ensuring they are fully utilised to meet your needs and aspirations so you avoid missing out on the services and supports you’re entitled to.