Important changes to disability support services and Individualised Funding.

From 2026 there will be some changes to Disability Support Services. These changes will be actioned in response to feedback to NZ Disability community following on from the Governments implementation of 1^st April 2024’s Individualised Funding guidelines.

2^nd September press release “disability Support Service link here

3^rd September press release Beehive.govt.nz “Improved support for Disabled New Zealanders”

So what are the Changes?

• Flexible funding guidelines removed – From April 2026, the restrictive purchasing guidelines introduced in March 2024 will be removed. Disabled people will receive a budget and be trusted to manage it in ways that best meet their needs.

• Consistent assessments nationwide – All NASCs will use the same assessment approach, aiming to make decisions fairer and more transparent.
• Personal plans formalised – While some NASCs already develop support plans with disabled people, this change introduces a consistent national approach. From October 2026, personal plans will be a formal part of reassessments, focused on goals, needs, and the purpose of funding.
• Reassessment pause – From February to October 2026, reassessments will be paused (unless urgent), giving time for smoother implementation.

So what are the positives to these changes?

• A consultation in early 2025 found the funding guidelines were overly restrictive, unclear, and often led to underuse of available support, so the removal of the guidelines in April 2026 should give the disability community greater choice and freedom for their support and services 
  
• Support for Carers recognised -Families whanau and carers will also be considered in assessments
• Consistent assessments nationwide- All NASC (Needs assessment) around the country will have the same assessments intended for more fairness and consistency.
  
• Personal Plans formalised Guidance will be given to help manage your budget. From October 2026, personal plans will be a formal part of reassessments, focused on goals, needs, and the purpose of funding.

The Devil is in the details

• Your future Funding will be based on your spend from June 23 to June 25 *
• If you are already receiving funding, your future funding allocation will be recalculated based on your previous spending data during this time.This may disadvantage those who underspent due to lack of choice or fear or confusion during the period the restrictive guidelines were in place.
•  * If you have a big change in needs, you may be given the opportunity for NASC re assessment of the recalculation in exceptional circumstances.
  

Reading between the lines

The proposed changes appear to be an effort to address the inequities raised during community consultation and move toward restoring the rights that existed prior to the implementation of the funding guidelines.

It should be noted individuals whose entitled spending budget was previously limited by the guidelines- for example not spending their budget due to certain products or services being excluded or not meeting eligibility criteria—may find their available budget reduced.

A positive detail of the recalculation includes a 10-month retrospective period prior to the guideline restrictions, which may help offset some of the impact over the following 12 months under guideline restrictions.

These changes provide reason for cautious optimism.

The hope is that, by October 2026 rollout—when personal support plans are formalised—the focus will be on genuinely supporting people’s goals and needs, and not eventuate into another form of restrictive measures.