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The National Disability Insurance Scheme is undergoing its biggest transformation since it was first introduced. While the goal of these reforms is to strengthen the long-term sustainability of the NDIS, many participants and families are understandably asking the same question:

“What do these changes actually mean for me?”

At Lion and Mouse Australia, we believe participants deserve clear, practical information rather than political jargon. Here’s what we know about the current NDIS reforms and how they may affect participants moving forward.

Why Is the NDIS Changing?

The Australian Government has introduced a series of legislative and operational reforms following recommendations from the NDIS Review and the Disability Royal Commission. The objective is to ensure the NDIS remains available for future generations while continuing to support people with permanent and significant disability. [health.gov.au]

While many reforms are still being implemented, participants are already beginning to see some changes in how plans, funding and supports are managed. [ndis.gov.au]

Key Changes Participants Should Understand

  1. New Funding Periods for NDIS Plans

One of the most significant changes is the introduction of funding periods.

Traditionally, many participants received access to their annual funding budget at the start of their plan. Under the new approach, funding may be released in stages, commonly every three months, rather than all at once. These changes began rolling out from May 2025 for new and reassessed plans. [ndis.gov.au]

The Government says this approach is designed to:

  • Reduce the risk of overspending
  • Help participants manage budgets more effectively
  • Ensure funding remains available throughout the life of the plan
  • Strengthen safeguards against fraud and financial exploitation [health.gov.au]

Importantly, this does not necessarily reduce the total amount of funding in a participant’s plan. It changes when funding becomes available. [ndis.gov.au]

  1. Greater Clarity About What NDIS Funding Can Be Used For

Recent legislative changes introduced clearer definitions around what constitutes an NDIS support.

The aim is to provide greater certainty about which supports can and cannot be funded through participant plans. These changes were developed following concerns about inconsistent decision-making and inappropriate use of NDIS funding. [engage.dss.gov.au]

For participants, this means there is likely to be increased scrutiny regarding whether a support is:

  • Related to disability needs
  • Reasonable and necessary
  • Appropriate for NDIS funding
  • More appropriately funded through another service system such as health, education or housing [engage.dss.gov.au]
  1. Changes to Plan Variations and Reassessments

Updated rules now provide greater clarity around when a participant’s plan can be varied and when a complete reassessment is required. These rules commenced in March 2025. [health.gov.au]

In simple terms:

  • A variation allows part of a plan to be changed without replacing the entire plan.
  • A reassessment creates a new plan and establishes a new plan period. [health.gov.au]

These changes are designed to make adjustments more streamlined when participant circumstances change.

  1. Stronger Focus on Safeguards, Compliance and Fraud Prevention

The Government has increased its focus on protecting participants and ensuring NDIS funds are used appropriately.

This includes:

  • Enhanced monitoring of fund usage
  • Stronger compliance measures
  • Improved safeguards for participants
  • Increased focus on provider accountability
  • Ongoing quality and safeguarding reforms across the disability sector [ndis.gov.au]

At Lion and Mouse, we support reforms that improve participant safety while preserving participant choice and control.

What Do These Changes Mean for Participants?

For many people, day-to-day supports may not change immediately.

However, participants may notice:

  • More structured budgeting arrangements
  • Different funding release schedules
  • More detailed planning conversations
  • Increased focus on evidence and disability-related supports
  • Additional discussions around goals, outcomes and support needs [health.gov.au]

The most important thing to remember is that participants still retain the right to be involved in decisions about their supports and future goals.

What Lion and Mouse Is Doing

The NDIS is becoming more complex, and many participants are feeling uncertain about what these reforms mean.

Our role is to help navigate that complexity.

We are committed to:

  • Monitoring legislative changes and policy updates
  • Providing practical guidance to participants and families
  • Helping participants understand their plans and funding
  • Advocating for participant rights and choice
  • Ensuring supports remain person-centred and focused on individual goals

As an organisation led by lived experience, we know that behind every NDIS plan is a person, a family and a unique story.

Reform should strengthen those outcomes, not complicate them.

Looking Ahead

The NDIS will continue evolving over the coming years as further reforms are introduced. Consultation is continuing on future changes, including planning processes, eligibility assessments, support coordination models and additional market reforms. [health.gov.au]

While the system may change, our commitment won’t.

Lion and Mouse will continue to stand beside participants, providing clear information, ethical support and advocacy every step of the way.


Need Help Understanding Your NDIS Plan?

Whether you’re concerned about funding changes, planning meetings, support budgets or upcoming reviews, we’re here to help.

📞 Call: 1300 048 355
🌐 Visit: https://lionandmouse.com.au


Lion and Mouse Australia Ltd is a registered Australian charity committed to empowering people with disability through ethical support, lived experience leadership and person-centred services.