NDIS Funding Cuts: What the SECP Changes Mean For You

From 1 October 2026, changes to NDIS funding rules will progressively reduce participant budgets for Social, Economic and Community Participation (SECP) supports. At C2A, we're already seeing the impact, with some clients experiencing reductions in their available SECP funding.

If you're concerned about what these changes mean for you, a family member or someone you support, this guide explains what's happening, which supports are affected and what steps you can take. We'll also explain how C2A can help.

In short:

• Changes to SECP funding may mean your current plan shows more than you can actually spend.
• SECP relates to NDIS services that help people with a disability access life outside their home, be active in their community, and build relationships.
• Some supports are excluded from the change, including high-intensity, complex behaviour and employment supports.
• Respond to correspondence from the NDIA as soon as you can, as plans may be suspended if you don't answer requests for information.
• Keep records and evidence of support needs, and tell the NDIA about significant changes.
• Worried about your plan? C2A’s Client Relationship & Funding Team can help

How 2026 NDIS funding cuts work

Under the new NDIS funding rules, participants' budgets will be reduced, it is only a question of by how much..

The changes are applied through a support determination, sometimes called a ‘plan overlay’, which limits how much of the allocated funding can be spent.

Two funding categories are affected:

• Social, Economic and Community Participation (SECP): Funding is reduced by 50%.
• Improved Daily Living (IDL): Funding is reduced by 10%.

Here's an example of how this may play out:

If the NDIS approves $20,000 for community participation supports, a 50% reduction means the participant can only spend $10,000 of that funding. The remaining $10,000 cannot be accessed, even though the original allocation may still appear in their plan.

The Department of Health, Disability and Ageing provides more information about the timing, exemptions and safeguards.

Because SECP funding covers activities that help people participate in their communities, day programs are among the services most affected.

As a day program provider in Victoria, C2A has been actively supporting clients and their families who have already been impacted by the NDIS funding cuts.

Which supports are excluded from NDIS funding cuts in 2026 and 2027?

Some SECP supports are not affected by the reduction in funding, including:

• High intensity supports
• Intensive and complex behaviour supports
• Supports in employment.

Some IDL supports, such as disability-related health supports, are also excluded from funding cuts.

Supports outside these two categories, like help at home with personal care, aren't affected. We're monitoring how these exclusions are applied in practice and will endeavour to keep our clients and their support teams up to date.

What to do if the NDIA gets in touch with you

Under the new rules, the NDIA may suspend a participant's plan if they do not respond to certain requests for information. It's important to check correspondence from the NDIA and respond within the requested timeframe.

• Respond within the timeframe the NDIA gives you.
• Follow up on missed calls or messages from the NDIA.
• If you need support or time to prepare, ask the NDIA to call back when your Support Coordinator or another trusted person can be there.
• Keep an eye on your junk folder if email is your preferred contact method.
• Check your plan and available funding regularly.

Why keeping evidence of your support needs matters

Although the funding reductions themselves cannot be reviewed, you can still request changes to your NDIS plan if your support needs or circumstances have changed significantly.

That's why it's important to keep records of the support you or your family member needs. This might include reports, assessments and notes about daily activities, challenges and changes in support requirements.

If your circumstances change, contact the NDIA to discuss whether a plan reassessment or variation may be appropriate.

If you have high support needs

A new plan variation pathway is available for participants with high support needs. You may be eligible if both apply:

• Before the cut, your plan had $215,030 or more across Assistance with Daily Life, Home and Living and SECP
• You receive 24-hour NDIS-funded support because of your disability.

A variation may be granted if the reduced funding can't keep your 24-hour support safe at the ratio you need. Any increase goes to daily living and home supports, not SECP.

Only the participant or their nominee can request a variation, although a support worker or advocate can help. Requests must be made within 90 days of the reduced plan starting. The NDIA has 21 days to decide if you meet the high support needs definition, then a further 21 days to decide on the variation.

The NDIA may extend the 90-day application period in exceptional circumstances and may also notify participants if more time is needed to make a decision.

How C2A can help you navigate NDIS funding changes

We understand that changes to NDIS funding can be worrying, particularly when they affect services that help you or your family member stay connected, build independence and participate in the community.

As a registered NDIS provider, C2A can help you understand how changes to your funding may affect your current supports and explore the options available.

We can also provide reports to support your conversations with the NDIA, including information about:

• Your current support requirements
• Changes in your support needs
• Incidents and other relevant information.

Our Client Relationship & Funding Team works closely with participants, families and nominees to discuss funding changes and any adjustments that may be needed.

Throughout these changes, the safety and wellbeing of our participants and employees remains our priority.