‘I’m really concerned that there are Victorians with disabilities who will be worse off under these changes,’ Lizzie Blandthorn says

Disability Minister Lizzie Blandthorn has hit out at her federal counterparts over the “rapid” introduction of new laws that would overhaul the NDIS to prevent rorts and curb soaring participant costs.

The Allan government has ramped up its fight with Canberra over NDIS reform, warning the federal government’s changes to the trouble-plagued scheme will end up cutting vital support for Victorians with disabilities.

Disability Minister Lizzie Blandthorn hit out at her federal counterparts over the “rapid” introduction of new laws that would overhaul the NDIS to prevent rorts and curb soaring participant costs.

While every state and territory backed changes to crackdown on illegal conduct, Ms Blandthorn said the proposed legislation would lead to vulnerable Victorians losing benefits.

“From a Victorian perspective, I’m really concerned that there are Victorians with disabilities who will be worse off under these changes, than what they are now,” she said.

Lizzie Blandthorn says she is concerned about the proposed legislation. Picture: Sarah Matray

“We shouldn’t let fraud and safeguarding be a veil for kicking people off the scheme.

“For 18 months, the speed at which the Commonwealth has been seeking to implement these changes – and clearly evidenced by the introduction of a bill through such a secret process … and then introduced last week with little notice, is evidence of that. You can’t achieve the rapid restrictions in the scheme that they want to achieve without removing people from the scheme.”

The reforms to the $42bn scheme seek to define what can be claimed as an NDIS support, clarifying that holidays, utility bills and cosmetics cannot be funded by taxpayers.

Participants will receive a set budget and restrict automatic top-up payments if they overspend.

It will also bolster the NDIS Quality and Safeguards Commissioner’s ability to undertake compliance action.

NDIS Minister Bill Shorten this week said it was not realistic to sustain 16 per cent growth of the scheme annually, adding the target growth rate would be 8 per cent come 2026.

“We’re not changing the eligibility for the scheme,” Mr Shorten said.

“The plans will be set the same way that they currently are, and funding will still be based on need, but we do need to put some cost control in around things, money being wasted.”

Bill Shorten says funding of the scheme will still be based on need. Picture: Martin Ollman

But Premier Jacinta Allan said the scope of the legislation “goes far beyond what state and territory leaders agreed to at national cabinet last December”.

“We need more time to fully consider the consequences and the implications,” she said.

Ms Blandthorn on Thursday said the federal government had failed to adequately involve the states in discussions.

“There was a commitment that we would be consulted, that we would be given effect to those co-governance arrangements, and that has not happened,” she said.

Ms Blandthorn said she was only notified about the details of the Bill last Thursday night at 7pm.

“The first version we got of it, we couldn’t even open it,” she said.

“The consultation that has happened with states and territories in relation to the actual drafting of the legislation has just not been there.”

Ms Blandthorn added that she is “particularly concerned” that the legislation includes a commencement date of within 28 days of passing the parliament.