From 1 October 2026, one of the biggest immediate NDIS funding changes begins.
Under the Government’s current reforms, when an existing NDIS plan comes up for renewal or reassessment, its allocation for social, civic and community participation will be reduced by 50%. The change will roll through existing plans progressively over about 12 months.
That’s pretty unfortunate news.
Knowing it’s coming, though, gives participants and families some time to look closely at how their funding is actually being used and prepare for what their next plan needs to contain.
You'll need to be ahead of the curve if you want to limit the impact.
What does the 50% reduction actually mean?
Social and community participation currently sits within Core Supports for many participants. Core funding can be flexible, which means funding allocated across different Core categories can often be used for other reasonable and necessary NDIS supports within that same budget.
So this change can affect people in two different ways.
If you use the funding for social and community participation, the impact is fairly direct. Unless additional funding is approved based on your individual needs, there will be substantially less money available for support to get out, participate in the community and stay connected.
If you’ve been using some of that flexible Core funding for other supports, the problem looks different. You may have been relying on that money for personal care, cleaning, domestic assistance or other everyday disability supports.
Once the social and community allocation is reduced, there is less money sitting in that flexible Core pool.
The Government says budgets for critical daily living supports, including help with eating, dressing, toileting, laundry, cleaning, medication and community nursing, will not be reduced by this measure.
But if your current plan only covers those needs because you’ve been moving funding around within Core, it’s worth getting that need clearly recognised in your next plan.
If you use the funding for other Core supports
Start looking at the numbers before your next plan reassessment.
Work out how much of your current social and community allocation is actually being used elsewhere, what those supports are, and why you need them.
Then start building the evidence.
That might include an Occupational Therapist’s Functional Capacity Assessment, reports from treating professionals, or information from support workers and other providers who understand your day-to-day support needs. The NDIA says it considers the evidence provided during a plan reassessment, including reports from therapists, healthcare professionals and support workers.
The evidence should make the practical connection clear: what support you need, how much you need, how it relates to your disability, and what happens when it isn’t available.
You can also look at other funding categories including community access capacity building, and funding for finding and keeping a job.
If you need your social and community support
This is the harder part.
The Government has announced a blanket 50% reduction to the budget allocation for social, civic and community participation in affected old-framework plans. It is not currently described as a reduction that only applies to people with unused funding.
If the reduced amount will not meet your actual disability-related support needs, that needs to be shown clearly in your planning evidence.
An OT or another appropriate professional will need to explain the level of support you require, how your disability affects your ability to participate independently, and the practical consequences of reducing that support.
The likelihood is however, you'll be in for a fight. The agency will be very resistive to letting those funds be added back to your plan.
Start looking at your plan now
The reduction does not hit every participant on 1 October.
It starts from 1 October and is then applied progressively as existing plans are renewed or reassessed over the following 12 months.
So check when your plan is due.
Look at how much of your Core budget is allocated to social and community participation. Then look at what you actually spend that money on.
If there’s going to be a gap, finding it now gives you time to gather evidence and explain the support you genuinely need before your next plan is decided.