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NDIS under review as it blows out to $50b

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The Albanese government admits it needs to rein in the National Disability Insurance Scheme after revealing its cost will blow out by almost $9 billion over the next four years, putting further pressure on the already-ravaged federal budget.

With the policy now among the top five demands on spending, despite being less than a decade old, next week’s budget will forecast its annual cost to surpass $50 billion by 2025-26. This is about $20 billion more than the Productivity Commission estimated in 2017 when the scheme became fully fledged.

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Phillip Coorey is the political editor based in Canberra. He is a two-time winner of the Paul Lyneham award for press gallery excellence. Connect with Phillip on Facebook and Twitter. Email Phillip at pcoorey@afr.com
Michael Read is the Financial Review's economics correspondent, reporting from the federal press gallery at Parliament House. He was previously an economist at the Reserve Bank of Australia and at UBS. Connect with Michael on Twitter. Email Michael at michael.read@afr.com

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    Original URL: https://www.afr.com/politics/federal/ndis-review-ordered-amid-8-8b-blowout-20221018-p5bqlj