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Monday 19 November 2018

Three in four disability providers say the NDIS

is not working well
Almost three in four Australian disability service providers say the NDIS is not working well, with one in ten
saying they have discussed closing over the past 12 months, a new report into the disability services sector
shows.
The State of the Disability Sector Report 2018 released today by National Disability Services (NDS) shows
that while providers overwhelmingly support the NDIS, 73% of providers said its systems and processes are
not working well. Problems include policy uncertainty, unrealistic pricing, costly red tape driving up the cost
of doing business, inefficient NDIS systems and workforce shortages.
Other key findings from the report include:
• One in two (55%) service providers said operating conditions in the sector have deteriorated over the
past 12 months;
• 15% of providers believe the NDIA is working well with the sector, up 7% from last year;
• One in ten (13%) service providers have discussed closing in the past 12 months – 4% more than in
2017 (9%);
• 28% of service providers made a loss or deficit;
• 54% of providers say they will have to reduce the quality of services to provide services at NDIA prices,
with some services saying prices are too low to continue service delivery; and
• 63% found it difficult to recruit disability support workers (compared to 42% in 2017).
Providers also said it is harder than ever to recruit allied health workers to the sector as the NDIS rolls out,
particularly psychologists, physiotherapists and occupational therapists.
NDS CEO Chris Tanti said the biggest challenge for the sector was unrealistic pricing, which is not covering
the cost of providing some services, and the cost of growing to meet demand under the NDIS. Mr Tanti said
the sector risked market failure unless the government provides more support to providers transitioning to
the NDIS.
“Almost one in two providers said reforms to the NDIS announced by the Federal Government are heading in
the right direction, which demonstrates that they have been listening to the sector and acting on our advice,”
Mr Tanti said.
“However, we need all governments, including the states and territories, to start working even more closely
with us to fix ongoing systemic issues before the Scheme is fully implemented in 2020.
“A strong and diverse disability sector is fundamental to the principle of choice and control that underpins
the NDIS. Without it people with disability won’t get the support they need, or were promised.
“There is a huge amount of experience, expertise and goodwill within the disability services sector. We need
to all work together to make the NDIS work.”
CEOs of Australian disability service providers are meeting in Melbourne today and tomorrow to discuss key
issues in the sector.
Media contact: Jenny Stokes, 0478 504 280