Australians have unleashed a furious attack on the National Disability Insurance Scheme, branding it the ‘biggest rort ever’ and a massive drain on taxpayers – with even the scheme’s own leaders admitting it’s riddled with fraud.
The backlash comes after Health and NDIS Minister Mark Butler announced sweeping reforms, including removing children with mild autism and minor developmental delays from the scheme and scaling it back to its original purpose of supporting those with permanent disabilities.
NDIS costs have blown out to $48.5 billion in 2024–25, making it Australia’s third most expensive program after state funding and pensions.
NDIS head of fraud and integrity, John Dardo, revealed last year that around $2billion is being wrongfully spent on everything from luxury holidays to mortgages and flashy cars.
‘Examples just in the last week include a $20,000 holiday, a $10,000 holiday,’ he said. ‘Fortunately, when we approached them, they agreed to repay the money. But we have other participants who cease contact and refuse to engage.’
In one case of fraud, a man on a $480,000 annual plan was receiving $40,000 a month, double what he actually needed for medical care, and using the rest to pay off his mortgage.
Mr Dardo said he had even spoken to a participant who met their provider at an ATM to withdraw cash for drugs.
‘The provider would withdraw cash and hand it over so she could source illicit substances,’ he said.
Daily Mail readers said it was time the Albanese government overhauled the scheme, with many providing examples of individuals who have abused the system to receive funding
Aussies have unleashed a scathing critique of the country’s National Disability Insurance Scheme (NDIS), claiming individuals were abusing the system
‘We’re not talking dozens or hundreds of participants – we’re talking significantly higher. These are providers putting people in harm’s way just to commoditise them and their plans.’
He also revealed organised crime groups had infiltrated the NDIS, by setting up dodgy provider businesses or posing as support coordinators.
‘These are not genuine providers, these are people who should not be in business, these are not people that should be allowed near government schemes of any kind and they’re in partnership in some cases with health professionals, who we’ve already taken down or are in the process of taking down.’
He said there is little the NDIS can do to remove dodgy providers.
‘We have moved participants in some cases from those providers only to have the providers knocking back on their door to actually solicit them.
‘They’re coming through as a different provider, as a different entity or they’re buying different providers or they’re establishing other providers or they’re coming back as an unregistered provider, so there’s a whole series of patterns.’
According to Mr Dardo, the sheer scale of taxpayer funding had turned the scheme into a magnet for corruption.
‘The scheme was designed with the best intent … What nobody planned on was that such a big pot of money would attract behaviours and risks that weren’t there before,’ he said.
‘It should be easier for the money to flow, but for good things. That requires reform. There are weaknesses in the system that need to be fixed. We cannot prosecute or audit our way out of this.’
Their comments come after Health and NDIS Minister Mark Butler (pictured at the National Pres Club in Canberra) announced the government’s plan to scale back NDIS funding
Butler said the government would remove children with mild autism or minor developmental delays from the NDIS and pare back the scheme to its original purpose to serve those with a permanent disability (stock image)
Many Aussies said the changes were long overdue, sharing personal stories of alleged rorting, waste and abuse.
‘I know of people on the NDIS who have no problem whatsoever… they’ve schemed the system,’ one said.
Another added: ‘NDIS is out of control. I’m a nurse and we see lots of patients. One patient has a budget of $2 million. Yes $2m! How can this be? He has 24-hour care. There are so many like him. Absolutely disgusting.’
A registered nurse at home health service Mable labelled the scheme ‘an absolute waste of money’, claiming clients were requesting ‘ridiculous’ services.
‘One person wants a trained chef to provide home meals. Other people use their money for piano lessons,’ they said.
Another told of being stunned when a simple shower chair worth $80–$150 was billed to the NDIS for $2,000.
‘That says everything about this scheme,’ they said.
One man said he met two people in their 30s who were both receiving payments for work-related stress despite being ‘fit and healthy in every respect now’.
‘They get more benefits than those on the age pension, it’s a financial rip-off,’ he wrote. ‘Time for massive changes.’
Others demanded means testing after learning of wealthy recipients pocketing taxpayer-funded services.
The NDIS is not means tested and does not take into account your income or assets (such as your home or investments) when determining eligibility.
One furious commenter claimed their friend’s wife, whose husband earns more than $200,000 a year, receives extensive NDIS-funded help.
‘This person gets full care at home, servants, maids, drivers, gardeners, cleaners etc plus all of the aids and other props that she doesn’t use. Terrible waste of taxpayers’ dollars… Meanwhile the TAXPAYER picks up the TAB for it. Disgraceful.’
Another, who was referred to the NDIS after becoming unemployed during Covid due to deafness in one ear, said the process felt exploitative.
‘All I had to do was source 3 ‘suppliers’, and fill in a couple of forms. I’d be given an annual budget of around $2,000,’ they wrote.
‘I never completed a single form. The idea felt exploitative and made me uncomfortable.’
Others alleged widespread theft by service providers.
‘I know one woman who provides services, she literally just books appointments with health care workers for clients via the phone, and charges/earns over $225,000 per year. They need jailing,’ one person fumed.
Another explained their neighbour’s son, meant to receive 24-hour one-on-one care, actually shares a single carer with three other residents.
‘Such a scam,’ they wrote.
‘He’s 45 years old and has the mental age of a 4-year-old… all of this coming from the poor taxpayer, and not servicing the needs of the disabled.’
A second said: ‘The NDIS is a financial sinkhole. Nearly every second person now thinks they’re eligible for it, and there’s a cottage industry totally vested to ensure it expands outward infinitely.’
‘It is out of control and became an industry without boundaries. People need to stop putting their hands up for handouts at every turn,’ a third added.
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