Member Forum – Thriving Kids Initiative Update

NDIS Overhaul Hits Early Childhood

The Thriving Kids initiative forms the first phase of broader foundational supports outside Australia's National Disability Insurance Scheme (NDIS). Announced in 2025 and refined through 2026, it targets children aged 8 and under with developmental delay or autism who have low to moderate support needs. These children will progressively move away from NDIS individualized plans to a new system of early intervention delivered through local services, schools, childcare, and community settings.

The program launches its rollout on 1 October 2026, with full scale expected by 1 January 2028. From that date, NDIS access rules change: new entrants in this cohort will no longer qualify for the scheme and instead enter Thriving Kids. Existing NDIS participants in the group before 2028 face reassessment but retain prior eligibility criteria during transition. Governments have committed $4 billion over five years, with the Commonwealth providing $2 billion (at least $1.4 billion flowing to states for service delivery).

Thriving Kids emphasizes four pillars: early identification of needs, general parenting supports, local navigation advice, and targeted allied health interventions—no formal diagnosis required, no out-of-pocket gap fees for services like occupational therapy, speech pathology, physiotherapy, and psychology. The design promises quicker access and parent skill-building to address developmental issues earlier and more preventively.

Yet tensions persist. Occupational Therapy Australia has advocated strongly for maintaining support levels and participant choice until services prove effective, warning that premature NDIS removal could harm children. Families and providers highlight risks of inconsistent state-based implementation, workforce shortages, and less flexible funding compared to NDIS plans. While the shift seeks to curb NDIS cost growth and reserve it for those with permanent, significant disabilities, critics argue it may leave borderline cases underserved if foundational supports fall short in practice.

The February 2026 timing of the member forum reflects fresh momentum after the Advisory Group's final report, as agreements with states finalize and rollout details sharpen—making this a pivotal moment for therapists navigating dual systems during transition.