Government seeks NDIS savings as advocates promote alternatives to group homes

The government’s $36 billion NDIS cost-cut plan has reignited debate over the future of group homes, which currently dominate disability accommodation. While some residents, like Jason Toppin, describe their homes as family-like, the Disability Royal Commission highlighted abuse and neglect in many facilities, leading most commissioners to recommend phasing them out. Supported Independent Living now consumes $16.6 billion of the scheme, with only a fraction for overnight stays, and advocates point to cheaper alternatives such as Individualised Living Arrangements, where participants share a regular rental with a flatmate and receive targeted support.

Providers report annual costs of just under $170,000 for such setups, compared with more than $230,000 per person in group homes. Funding for these alternatives has fallen from 623 participants in 2024 to 482 earlier this year, despite growing demand. Disability Minister Mark Butler proposes a limited panel of approved providers to ensure quality, while experts warn that choice may be constrained for those without supportive relatives. Mobile support services like MACS also demonstrate cost-effective, flexible care for people living independently.