‘Not the Right Fit’: NDIS Won’t Take Children with Autism, Developmental Delay in $2b Shift
Thriving Kids will support children with mild to moderate developmental delays outside the National Disability Insurance Scheme, reducing NDIS growth from 22% to 8% by 2026, the government said.
- On Wednesday, Mark Butler announced the Thriving Kids program, launching in July 2026 to shift young children with mild to moderate developmental delays or autism out of the NDIS by mid-2027.
- Rapid growth in the NDIS prompted a surge in participants from about 410,000 to just less than 740,000, with children under 15 over-represented and an 8% growth target set for next year.
- The plan includes new Medicare items for allied health services, and Thriving Kids will be jointly funded by the Commonwealth and states and territories, with the Commonwealth earmarking $2bn for rollout assistance.
- Families of children with disabilities have reported reassessments over past months deeming children ineligible for the NDIS, while Butler defended Thriving Kids, saying it will better serve children and ease budget pressure.
- Implementation will depend on cooperation between the Commonwealth and states and territories, with a key challenge ensuring culturally and linguistically diverse families and Aboriginal and Torres Strait Islander people receive equitable benefits from Thriving Kids.
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27 Articles

The wrong fit: children with autism moved off NDIS
A plan to divert children with autism and development delays from the NDIS is crucial to ensure the...
Labor Pledges $2 Billion Program to Target Surge of Aussie Children on NDIS
With nearly half of all NDIS participants now children under 15, the federal government is rolling out a $2 billion program to try steer young children with mild autism away from the program. Health Minister Mark Butler said the latest initiative would begin in July 2026, with a full rollout by mid-2027, when changes to the taxpayer-funded National Disability Insurance Scheme (NDIS) take effect. The announcement comes as successive governments t…

‘Not the right fit’: NDIS won’t take children with autism, developmental delay in $2b shift
Disability Minister Mark Butler said a new system called Thriving Kids would be in place to support children with autism and developmental delay from July 2027.
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