Overview

• Treasurer Jim Chalmers said the new five-year hospital funding deal is closely tied to premiers backing the children’s support redesign outlined by the Commonwealth.
• State leaders and major disability groups say they were blindsided and are demanding co‑design, while Minister Mark Butler maintains jurisdictions have been engaged for two years.
• The proposal targets a phased rollout starting mid‑2026 with full implementation by July 2027, with the Commonwealth putting in $2 billion and asking states to match it.
• Parents and clinicians warn Medicare-based pathways could increase out‑of‑pocket costs and cap sessions; an advisory group chaired by Professor Frank Oberklaid will advise on program design.
• Butler has assured families that children already on the NDIS, or who join before July 2027, will remain on the scheme during the transition subject to normal reassessments, as the opposition seeks more detail.