In a sweeping overhaul of the National Disability Insurance Scheme (NDIS), a range of alternative therapies and lifestyle services are no longer available to participants.
The changes, which come into effect today, are part of the government’s commitment to tightening regulations around what can be claimed under the NDIS. The reforms are intended to ensure the scheme remains sustainable and transparent, while also safeguarding participants from unproven and questionable services.
Among the banned items and services are cuddle therapy, crystal healing, reiki, wilderness therapy, and yoga therapy. Alternative therapies that lack robust scientific backing, such as shamanic healing and hypnotherapy, will no longer be eligible for funding
Additionally, lifestyle products such as vapes, legal cannabis, and cigarettes are also prohibited, as are dating services, including matchmaking apps.
NDIS Minister Bill Shorten emphasised that these measures are aimed at providing clarity and ensuring participants are receiving genuine support that meets their needs. “We are being very clear about what the NDIS will and won’t cover,” Shorten said.
“This is about making sure participants are supported in the right way, not through dubious therapies or lifestyle services that don’t have a proven benefit.”
The reforms also include restrictions on claiming for day-to-day living costs, such as rent and mortgages, and services that overlap with existing government provisions, like hearing aids provided by Hearing Australia. There will be a strict delineation of what can be claimed through the NDIS versus other welfare services like Medicare.
The changes will be implemented gradually, with participants given a one-year transition period to adjust. Those currently accessing banned services will be able to continue until their existing NDIS plans expire. For smaller, mistaken claims of less than $1500, administrators will have the discretion to waive them.
A notable inclusion in the reform is the axing of sex work claims under the NDIS, a move that was highly anticipated following earlier government indications. Shorten pointed out that such services are not widely sought by participants, and the decision reflects a broader effort to prioritise sustainable, evidence-based care.
“Australians want to see the NDIS working as it was intended – helping those in need with the supports that genuinely improve their quality of life,” he said.
While these reforms are expected to save taxpayers an estimated $14 billion over four years, the government has stated that financial savings were not the primary motivation behind the changes. Instead, the focus is on curbing the influence of unethical service providers who have been exploiting the scheme.
“We’ve seen the rise of opportunists pushing snake oil, selling therapies that simply don’t work,” Shorten added. “These reforms will help us eliminate such practices from the NDIS.”
Participants who rely on alternative therapies or lifestyle services may feel the impact of these changes keenly, especially those who have found value in therapies now deemed ineligible.
However, the government insists that the removal of non-essential services will help refocus the scheme on its core mission – supporting people with disabilities to live independently and with dignity, backed by therapies and services that are proven to be effective.
