Change to New Zealand policy to add huge cost to NDIS

The Albanese government’s open door policy to New Zealanders will add a huge cost to the running of the NDIS and other government services, it can be revealed.

The Albanese government’s open door policy to New Zealanders will add an extra $543m to the cost of the NDIS over the next four years alone, with the number of Kiwis moving here set to surge.

Prime Minister Anthony Albanese announced in April that from July, NZ citizens who have been living in Australia for four years or more will be eligible to apply directly for Australian citizenship.

The change applies to 300,000 Kiwis living here, with the government predicting 90 per cent of them will become citizens over the next four years.

Last month’s budget papers indicated Treasury expects the change to lead to an increase in payments for services and benefits of $1.3bn over the next five years.

On Monday Tara Cavanagh, a senior Department of Home Affairs official, revealed at a Senate Estimates hearing the biggest single item in that total will be a $543m hit to the NDIS.

Opposition Immigration spokesman Dan Tehan said Ms Cavanagh had “let the cat out of the bag by admitting that Australia’s generous welfare system will encourage more New Zealanders to move to Australia and take up permanent citizenship”.

Originally published as Change to New Zealand policy to add huge cost to NDIS