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NDIS pricing decision risks “national health emergency” as OT workforce pushed to breaking point

Published: Monday 22 June 2026

Australia, 22 June 2026: The National Disability Insurance Agency's (NDIA) decision to freeze occupational therapy pricing in its Annual Pricing Review has sparked warnings of a national health emergency, with thousands of Australians at risk of losing access to essential care that keeps them safe, independent and connected to their communities.

Occupational Therapy Australia (OTA) says the decision will accelerate workforce exits, deepen access gaps and place unsustainable pressure on a system already under strain, resulting in immediate and far-reaching consequences.

The current NDIS reforms under discussion are already foreshadowing further instability and reductions in access to the scheme for participants. This pricing review freeze, compounded by the broader NDIS reforms, is even more devastating.

Samantha Hunter, CEO of OTA, said, “This is a national health emergency in the making. OTs are the backbone of the disability workforce, and you cannot cut the price of essential healthcare without cutting access to it.

“This decision will push clinicians out of the scheme, and Australians living with disability will be the ones who ultimately pay the price. When people with disability cannot access the essential care they need, the long-term harm is profound and will far outweigh any immediate, short-term budget relief.”

The decision to freeze occupational therapy rates comes after eight consecutive years of frozen pricing for the OT sector, with providers absorbing rising wages, insurance and operating costs. OTA says that pressure is now translating into workforce loss and reduced services.

"For eight years, occupational therapists have held this scheme together while costs have continued to rise,” Ms. Hunter said.

“That goodwill has limits. This latest rate freeze is the nail in the coffin for many OTs who provide vital services to participants through the NDIS.”

“Expecting any business to absorb eight years of rising business costs, rising wages and potentially rising inflation is completely unreasonable. We are now seeing those limits in real time through longer waitlists and clinicians having to walk away from the profession they have studied, trained and practiced in for so long.”

OTA warns that the NDIS is at risk of losing the very workforce it depends on, with eight per cent of occupational therapists having already exited the Scheme since last year’s pricing freeze, meanwhile those remaining are forced to reduce client numbers and travel to remain viable.

The association says any proposed pricing model must account for the full cost of service delivery, including travel, to truly be sustainable for participants and practitioners.

Occupational therapy is fundamental to helping people remain in their homes, stay in work and participate in their communities. Operating across the entire lifespan, occupational therapists are uniquely equipped to deliver many of the key services NDIS participants depend on, from home modifications and assistive technology assessments to return-to-work support and community participation.

"This decision does not reduce the need for occupational therapy. It just removes access to it and defers the cost elsewhere," Ms. Hunter said.

“Participants will feel this first and hardest, particularly in regional and remote communities where access is already fragile. When people cannot access OT, the costs are unfairly absorbed by families and public health systems, many of which are already under immense strain.

“This latest decision by the NDIA will see more hospital admissions, greater reliance on other services and higher long-term costs. We need sustainable investment in occupational therapy that delivers real returns for participants, the economy, and the long-term viability of the scheme itself."

OTA says the decision reflects a disconnect between pricing settings and the real cost of delivering care, saying that NDIS participants should not be made to pay the price for administrative decisions that are out of touch with the real cost of care.

"This is not grounded in the reality of providing services. It pushes an already stretched workforce closer to collapse and cuts people off from the supports they need to live with dignity," Ms. Hunter said.

OTA is calling for urgent action to stabilise the system, including increasing the hourly rate for occupational therapy in the NDIS, implementing an evidence-based pricing model and reinstating full travel funding.

This forms part of the association’s ‘No OTs, No NDIS’ campaign – an urgent call to protect the sustainability of the occupational therapy workforce and protect participant access to essential supports.

As part of the campaign, OTA will hold a snap Social Media Day of Action on Monday 29 June to oppose the pricing cut. Occupational therapists, participants, families, supporters and allies are being encouraged to share and post the ‘No OTs, No NDIS’ campaign tile across their social media channels to demonstrate visible, united support for the campaign and highlight the sector’s concerns about the pricing announcement.

"Without occupational therapists, the NDIS cannot function," Ms. Hunter said.

“No OTs, No NDIS. It’s as simple as that. If we continue down this path, access will shrink, the workforce will disappear, and the scheme will fail the people it was designed to support.”

Learn more about OTA’s ‘No OTs, No NDIS’ campaign here.

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