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How does Labour’s Thriving Kids work and who else is eligible for the NDIS? | The national disability insurance scheme

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The Albanese government has unveiled the model for its new program to mobilize children under nine years of age with mild developmental delay and autism from the National Disability Insurance Scheme.

Called Thriving Kids, the program will be implemented with states and territories from October this year.

Here’s everything you need to know about the changes.


What is Thriving Kids?

Instead of being enrolled in the NDIS, children with low to moderate needs will be offered early intervention services through Thriving Kids, designed by an advisory group.

The new services will be delivered to children in settings including schools and childcare centres. Acting early is expected to solve problems faster, helping children grow and develop fully sooner.

Unlike the NDIS, participation in Thriving Kids does not require a formal diagnosis, potentially speeding up services and saving families money.

The federal government and the states have agreed to spend $4bn on Thriving Kids, with a 50/50 split. About $1.4bn in federal contributions is set to go directly to pay for services.


How does it work?

The health minister, Mark Butler, and chairman of the advisory panel, Murdoch Children’s Research Institute professor Frank Oberklaid, said the program has four pillars.

The first is about awareness and early identification of children’s issues.

The second is to provide ready access to information, advice and navigation for parents.

Building the skills of parents is the third pillar, while the fourth is rapid access to targeted support from trained allied health workers, including speech pathologists, occupational therapists, physiotherapists, audiologists and psychologists.

The program is designed to help families develop their child’s strengths and navigate important transition points, such as entering school.

While the NDIS provides annual funding packages for participants to spend on services, Thriving Kids will be linked to development goals and may be time limited.

Health minister Mark Butler with Prof Frank Oberklaid, co-chair of the Thriving Kids Advisory Group. Photo: Hilary Wardhaugh/Getty Images

Why is this necessary?

Labor is working to prevent dramatic increases in the cost of the NDIS. Last year’s cost growth was about 10%, from about 22% in 2022. The national cabinet agreed to lower it to 8% this year, before going to 5-6%.

About 750,000 people are enrolled in the NDIS, which costs almost $50bn a year. Figures from the NDIS show that around 11% of all five to seven-year-old children received services in the past year. About 40% of participants of all ages had a primary diagnosis of autism, and 11% a developmental delay.

Experts have warned that the government’s increased demand will cause the destruction of the health workforce, including affecting hospitals, care for the elderly and other services.

Oberklaid said the NDIS model also distorts clinical practice by focusing on child vulnerabilities, while Thriving Kids is better placed to recognize individual differences and needs.


When does it start?

First announced in August last year, Thriving Kids is due to start operations on October 1, after the national cabinet agreed last week to push back its start date by three months. If the new program is ramped up, full implementation is expected in January 2028.

Children already enrolled in the NDIS can stay there.

Until 2028, children under nine will continue to be enrolled in the NDIS, while children with a permanent and significant disability will continue to be eligible for the NDIS permanently, subject to the usual conditions.


What was the reaction?

The shadow minister for disability and the NDIS, Anne Ruston, said Labor was too slow to explain Thriving Kids.

“The minister is still unable to explain how this program will actually work in practice, how support will be provided on the ground, or what impact it will have on the budget and the government’s commitments to manage the growth of the NDIS,” he said.

The Independent Education Union – which represents staff at independent and religious schools, and early childhood education centers – said Thriving Kids should ease the workload of teachers and better support children and families.

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