Senator the Hon Mitch Fifield, Assistant Minister for Social Services, yesterday revealed the Second Quarter results of the NDIS trial sites.
Senator Fifield noted that while the average NDIS package costs have fallen, the figures still remain 15% above the budgeted average costs.
“The First Quarter results found that packages were running at $46,290 – 30% higher than the modelled average cost of $34,969,” Senator Fifield said.
Average package costs are down to $40,466.
Plan completions are taking longer than expected with 2,586 participants now in the Scheme - half the target for this stage of 4,340.
Senator Fifield also raised concerns that it appears that the budget by the previous government for the trial sites underestimated costs to the tune of nearly $400 million.
“The difference between the expected annual cost in 2013/14 to 2015/16 and the actuarial baseline model is $392.1 million to be precise. Those bilateral agreements negotiated by the previous government provide that the Commonwealth is liable for all cost over-runs,” Senator Fifield said.
Nevertheless, Senator Fifield confirmed that the Coalition is committed to delivering the NDIS in full.
“The priority of the Government is to ensure the scheme is as effective and efficient as it can be. And that’s to ensure that the support gets to the people who need it.”
“We are determined to ensure that the NDIS is here to stay, and that its foundations are strong and financially sustainable.”
“It’s important that we ensure that Australians with disability aren’t left wondering whether a reform of this magnitude is able to stand the test of time. We need to give them certainty that the services provided to them under the NDIS are here to stay,” Senator Fifield concluded.