PWDA: NSW Budget Welcomed, Mainstream Reform Needed

People with Disability Australia

People with Disability Australia (PWDA), the national disability rights and advocacy organisation, has welcomed investments in foundational supports, health and safeguarding in the 2026-27 NSW Budget, but says the Budget falls short of the broader inclusive uplift to mainstream systems recommended by the Disability Royal Commission.

PWDA Acting CEO Megan Spindler-Smith said the Budget could not be viewed in isolation from the major reforms currently underway across Australia's disability support system.

"The Disability Royal Commission made clear that people with disability continue to experience exclusion, violence, abuse and poorer life outcomes because mainstream systems often do not meet our needs," Mx Spindler-Smith said.

"Today's Budget recognises that disability support extends far beyond the NDIS. But if governments expect mainstream and foundational supports to do more of the heavy lifting in the future, they must also invest in making those systems accessible, inclusive and capable of meeting demand."

"Today's Budget begins that work, but it falls short of the broader inclusive uplift needed across health, education, housing and emergency management systems."

"In NSW, around 1.3 million people live with disability, yet only a small proportion access the NDIS. Most people with disability already rely on mainstream services, family and community supports, or go without support altogether."

Mx Spindler-Smith said people with disability across the country were living through the biggest changes to disability supports since the NDIS began.

The Budget includes $631.9 million over five years for foundational supports, including the Thriving Kids program.

While PWDA welcomes this long-overdue investment in supports outside the NDIS, significant questions remain about how these services will be designed, delivered and accessed.

"Outside of Thriving Kids people with disability still do not know who will be eligible for new supports, what services will be available, how many people the system is expected to support, whether there will be waiting lists or what will happen if demand exceeds available funding," Mx Spindler-Smith said.

"Governments are increasingly positioning foundational supports as a key part of Australia's future disability support ecosystem, but the NSW Government has been clear there will still be gaps. People need confidence that support will be there when they need it, regardless of their age. Where governments know gaps will remain, they must be upfront about who will miss out and what alternatives will be available."

PWDA said people with disability and their representative organisations must be centrally involved in the design, delivery and evaluation of foundational supports.

"Co-design must be at the centre of all service development. People with disability must be involved from the beginning and throughout implementation and evaluation."

PWDA also called on the NSW Government to provide greater transparency about expected demand for foundational supports, ongoing funding arrangements and how existing services will transition into the new system.

"People with disability need certainty. They need to know what support will be available tomorrow, not just promises that support will exist in the future."

PWDA welcomed the Budget's broader investment in health but said it missed an opportunity to address the barriers people with disability continue to face accessing preventative healthcare.

"People with disability continue to experience poorer health outcomes and die younger than people without disability. Many still face barriers including inaccessible facilities, transport difficulties, communication barriers and cost," Mx Spindler-Smith said.

"Our pre-budget submission called on the NSW Government to work with people with disability to identify and map these barriers and co-design a plan to address them. We remain committed to working with government on this important reform."

PWDA acknowledged the Budget's investment in mental health, including $64.8 million for mental health and suicide prevention services, $43.3 million for Lifeline and $4.3 million to strengthen mental health peak bodies and community-managed services.

"People with psychosocial disability are among those most at risk of falling through the cracks as support systems change. These investments are welcome, but NSW must ensure community mental health services can meet growing demand and are shaped by the voices and experiences of the people who use them," Mx Spindler-Smith said.

PWDA also welcomed additional investment in the Ageing and Disability Commission, recognising the critical role it plays in safeguarding the rights of people with disability in NSW.

"The rights of people with disability cannot be fully realised if the systems designed to protect those rights are under-resourced," Mx Spindler-Smith said.

"We welcome this investment and the recognition of the Commission's important role. As disability support systems continue to change, we look forward to seeing continued investment in this critical safeguard into the future."

PWDA noted that while the Budget includes significant investment in cost-of-living relief, housing, schools and emergency services, further work is needed to ensure these investments deliver accessible and inclusive outcomes for people with disability.

PWDA's pre-budget submission called for investment in disability-inclusive emergency management, accessible housing, inclusive education and ongoing co-design of foundational supports.

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