On 16 June 2023, the NDIA released the 2022-2023 Annual Pricing Review (APR) to ensure that appropriate pricing is in place for NDIS participants.
The NDIA reviews the Pricing Arrangements and Price Limits (previously called Price Guide) each year to make sure that support services are priced to meet changes to the economy, labour costs and other factors.
Today, we look at the main changes and what they may mean for you.
Summary of key points:
- The NDIA has reviewed the current price limits and provided recommendations
- Many pricing changes are in response to an increase in award wages
- Changes to the Pricing Arrangement and Price Limits will come into effect 1 July 2023
- The broader NDIS Review is also underway, with the outcomes expected in October 2023.
NDIS snapshot: Latest figures.
The NDIS has been in operation since 2013, with the first three years being the trial period, followed by a transition phase until 1 July 2020, when the scheme became operational in all areas of Australia.
At the end of the trial period, on 30 June 2016, the scheme included 29,719 participants. The scheme has grown significantly since then, with 573,342 participants as of 31 December 2022.
The proportion of participants choosing to use a plan manager has increased over several years, from 45% in the December 2020 quarter to 58% in the December 2022 quarter.
Annual Pricing Review (APR).
The Annual Pricing Review has made a number of key recommendations, which are outlined below.
From 1 July 2023, prices for disability support workers and level 1 support coordinators will increase by 5.3% which includes:
- An adjustment to align with the Fair Work Commission’s decision to raise award wages
- An extension to temporary loading for another 12 months at a rate of 1% until 30 June 2024
- Paid family and domestic violence leave in the Disability Support Worker Cost Model, resulting in a 0.1% increase from 1 July
- An adjustment which reflects the 0.5 percentage point increase in the superannuation guarantee charge.
At this stage there will be no adjustments to pricing arrangements and price limits for therapy supports, plan management and levels 2 and 3 support coordination.
NDIS Plans will be adjusted from July 2023 to account for these pricing changes.
NDIS Review.
The NDIS is currently undergoing a broader review, which will consider the design, operations and sustainability of the scheme. The outcomes of this review are expected in October 2023.
The findings of the review will be considered by the government when it makes decisions about the future of the NDIS, including the pricing arrangements.
Want to know more about plan management?
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