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Disability
Plan Reviews

Why 43% of NDIS Plans Are Being Cut at Review — and What Participants Can Do

2026-03-23

12 min read

Disability Services

NDIA data shows plan reductions at review have nearly doubled since 2024. We analysed 800 participant experiences to identify the patterns behind the cuts and the appeals that succeed.

Department Scorecard

Services Australia

45/100

The scale of the problem

When the NDIS was designed, plan reviews were meant to be a routine check-in — an opportunity to adjust funding as participants' needs changed. Instead, reviews have become the most feared moment in many participants' NDIS journey. Our analysis of NDIA data obtained under FOI shows that 43% of plan reviews in the six months to December 2025 resulted in a funding reduction, up from 24% in the same period of 2024.

43%

of plan reviews resulted in cuts

I got a letter saying I need to prove my son is still autistic. He's been autistic his whole life. It doesn't go away. But the NDIA wants new evidence every year.

Parent of NDIS participant, Sydney, disability advocacy forum

Who is being cut and why

The reductions are not evenly distributed. Participants with psychosocial disabilities saw the highest rate of cuts (58%), followed by those with intellectual disabilities (47%) and autism (41%). Physical disability plans were cut at 31%. The NDIA attributes this to 'plan alignment with assessed need' under its new assessment framework, but participant advocates describe a systemic tightening.

My son's plan went from $87,000 to $52,000 at review. Nothing about his condition changed. The only thing that changed was the NDIA's approach.

Parent of NDIS participant, Melbourne (survey response, Feb 2026)

The appeals that succeed

We analysed 800 participant experiences shared through our survey and scraped from public forums. Of participants who requested an internal review of a plan reduction, 34% achieved a partial or full restoration of funding. Of those who escalated to the Administrative Appeals Tribunal (AAT), 61% received a more favourable outcome — but the average wait time for an AAT hearing is now 11 months.

What participants can do

Based on our analysis of successful appeals, three factors correlate most strongly with funding restoration: having an independent support coordinator (not one employed by the participant's main provider), providing updated allied health reports less than 3 months old, and specifically referencing NDIS Operational Guidelines in the review request. Participants who did all three had a 72% success rate at internal review.

The bigger picture

The NDIS is projected to cost $50.5 billion in 2026-27, up from $35.4 billion in 2023-24. The government's stated goal is to limit annual growth to 8%. The plan review tightening appears to be a key lever in achieving that target. The question is whether cost control and adequate participant support can coexist — and the evidence so far suggests the balance is off.

The NDIS changed my life. Before it, I was stuck at home. Now I work part-time, I have support, I'm part of my community. But every plan review feels like they're trying to take it away.

NDIS participant with psychosocial disability, Adelaide

Sources & Methodology

NDIA, Quarterly Performance Report Q2 2025-26

FOI request #LEX-76234: Plan review outcome data (Dec 2025)

Administrative Appeals Tribunal Annual Report 2024-25

YourGov citizen survey, 2,100 NDIS participants (Feb 2026)

YourGov analysis of 800 participant experiences from surveys and public forums

Read our full methodology →

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