The National Disability Insurance Agency (NDIA) has implemented the newly updated Pricing Arrangements and Price Limits (PAPL) 2025‑26, following their annual review process, effective 1 July 2025. This overhaul follows significant scrutiny and recommendations, aiming to foster a more balanced and sustainable NDIS marketplace.
APR Suggested Fee Adjustments (11 June 2025)
The 2024‑25 Annual Pricing Review (APR) delivered key recommendations centered on aligning NDIS payments with the broader health sector and standardising rates. Major shifts include:
- Therapy support services:
- Fees for physiotherapy, psychology, dietetics, and podiatry have been reduced to align more closely with Medicare and private insurance — for example, physiotherapy capped at approx. $183.99/hr, a $10 reduction.
- Psychology services now have a national cap of $232.99/hr, with regional loadings removed.
- Disability support worker (DSW) services:
- Rates will increase by approximately 3.95%, mirroring award increases per the Fair Work Commission.
- Rates will increase by approximately 3.95%, mirroring award increases per the Fair Work Commission.
- Travel claims for therapists to be reduced:
- Travel time to be billed at 50% the hourly limit with the 30 minute cap (60 minutes for remote) still in effect.
- Travel time to be billed at 50% the hourly limit with the 30 minute cap (60 minutes for remote) still in effect.
- Plan management fee changes:
- Plan management setup fees and remote loadings to be discontinued.
Key Price Guide Updates Effective 1 July 2025
1. Expansion of Early Childhood Age Limit
- The early childhood approach now includes support for children up to 9 years old, an increase from the previous cap of 7 years.
- This change enhances support eligibility and inclusivity for early intervention services.
2. Improved Conflicts of Interest Governance
- Updated PAPL documents now include explicit guidance on provider responsibilities, specifically requiring them to declare and manage any conflicts of interest.
- This reinforces transparency and participant trust in provider operations.
3. Pricing Arrangement Changes for Therapy and Plan Management
Rates for therapy and plan management have been adjusted inline with the APR recommendations.
- Rates for some therapy services have been reduced as well as a reduction for travel claims for therapy related services
- Plan management setup fees and remote loadings have been discontinued
Price Guide Line Item Changes
Following new line items have been added:
The following line items have been discontinued:
Additional PAPL Updates by NDIA (16 June 2025)
Beyond APR-driven adjustments, the NDIA introduced its own refinements in the PAPL as follows:
- Rebranded Guide: The NDIS “Price Guide” is now officially termed the Pricing Arrangements and Price Limits (PAPL).
- Clarified provider obligations, particularly around conflict of interest management—underscoring governance and ethical practice.
Final Thoughts
The July 2025 PAPL update marks a significant shift in NDIS pricing philosophy—balancing cost containment with fairness and access. While providers may need to adapt to tighter therapy margins, participants benefit from more justified pricing and expanded support eligibility.
This update also sets the stage for long-term transformation via IPC‑driven differentiated pricing models. The sector’s evolution continues as the NDIA works to foster a diverse, equitable, and sustainable NDIS landscape.
