$100 billion of disability spending cripples economy

The Budget papers show that the federal government’s total spending on disability in the 2027 financial year will come in at $98.1 billion, despite its efforts to curb the National Disability Insurance Scheme’s (NDIS) growth.

The forecast spending comprises $56.1 billion for the NDIS, $27.6 billion for financial support for people with disabilities, and $13.97 billion for financial aid to carers.

Total spending on disability is expected to rise by another $5 billion to $103.4 billion by the 2030 financial year, even if NDIS growth eases off as forecast, which, as illustrated below by Justin Fabo from Antipodean Macro, seems highly unlikely.