Richer people recieve more NDIS support, report finds

Wealthier people on the National Disability Insurance Scheme receive the highest average support, as the scheme cost spirals.

NDIS Minister Linda Reynolds said she was concerned about the disparity of support between the rich and those of a lower socio-economic status.Picture: APH via NCA NewsWire

Richer people on the National Disability Insurance Scheme receive the highest average support, the latest NDIS quarterly report shows.

And the scheme is failing to deliver better employment outcomes for those on the scheme aged over 25, it finds.

The NDIS report, which incorporates figures for the June 2021 quarter, also reveals costs continuing to spiral. In that quarter alone, the scheme cost was $6.6 billion, up 33 per cent from the same quarter in the previous year.

Already 96 per cent of the $26.5 billion in NDIS funding available for this financial year has been fully allocated. And this assumes there will be no new participants and average payment per participant doesn’t increase, both of which are likely.

Overall scheme costs have risen an average of 11 per cent per annum over the last four years, driven by higher participant numbers. As at June 30 there are now 466,000 people with disability receiving support under the NDIS.

The average annual cost of packages has risen to $54,000, including $320,000 annually for those in Supported Independent Living and $28,000 for others.

But for those in the lowest 10 per cent of the socio-economic status spectrum the average package is $51,300, while for the highest it is $55,700.

NDIS Minister Linda Reynolds said she was concerned about the disparity.

“In an insurance scheme, where you live or your socio-economic circumstances should not matter,” Senator Reynolds said.

Those in the scheme also don’t increasingly feel they are being given sufficient choice and control over how the money is spent.

“Participants who would like more choice and control have increased from 77 per cent to 87 per cent, a 10 per cent increase,” the report says.

One of the aims of the NDIS was to support people with disabilities to live their fullest possible lives, including engaging in work.

But the report shows a disturbing lack of progress in that regard.

“Rates of employment for those who have been in the Scheme for at least two years have not increased significantly, except for those aged 15 to 24 years,” it says.

For those aged 25 and over, the proportion of those in a paid job has fallen over the course of the scheme from around 25 per cent to 23 per cent. For 15-24 year-olds it has increased from 12 per cent to 21 per cent.