The NDIS is entering a new phase of regulatory reform, and every provider should take notice. In late 2025, the Minister for the NDIS, Senator Jenny McAllister, introduced the NDIS (Integrity and Safeguarding) Bill 2025, proposing significant new powers for the NDIS Quality and Safeguards Commission.
If passed, the Bill will give the Commission a stronger ability to act early, intervene when risks arise, and enforce standards that protect participants and the long-term sustainability of the scheme.
For NDIS providers, these reforms signal a clear shift. Compliance expectations are increasing, scrutiny is tightening, and the sector is moving toward a more robust integrity framework. Now is the time to understand what is changing and how your organisation can prepare.
What Is the NDIS Integrity and Safeguarding Bill 2025?
The NDIS Integrity and Safeguarding Bill 2025 is a major legislative proposal aimed at strengthening regulatory powers under the NDIS Act. The reforms have been developed following extensive consultations with participants, advocates, providers and peak bodies, and received strong sector support during the consultation period.
The Bill forms part of the Australian Government’s response to:
- the NDIS Review, which called for stronger oversight and clearer safeguards
- the Disability Royal Commission, which recommended earlier and more proactive regulatory intervention
The goal is simple: ensure the NDIS remains safe, fair and trustworthy for every participant.
Why the Bill Matters for NDIS Providers
The Bill is highly relevant to all NDIS providers, regardless of size or service type. If passed, it will shape:
- how the Commission investigates providers
- how penalties apply
- how marketing and promotional activities are regulated
- how compliance documentation must be managed
- how workers, auditors and consultants are monitored
The changes represent a more proactive regulatory environment where providers need strong governance, accurate documentation and transparent business practices.
Key Reforms in the Bill and What They Mean for You
Stronger Penalties and New Criminal Offences
The Bill proposes:
- increased civil penalties for breaches of NDIS legislation
- new criminal offences for serious or harmful misconduct
These changes aim to deter unsafe and unethical practices and ensure serious breaches carry appropriate consequences.
Anti-Promotion Orders to Restrict Predatory Marketing
The Commission will have new powers to stop promotional activity that:
- misleads participants
- pressures them into unnecessary supports
- damages trust in the NDIS
Providers will need to ensure their advertising and referral practices are accurate, transparent and appropriate for a disability audience.
Expanded Banning Powers Covering Auditors and Consultants
Currently, the Commission can ban workers and providers. The Bill expands this to also allow bans on:
- auditors
- consultants
- advisors operating in the NDIS sector
This ensures the entire compliance ecosystem, including those who support registration or auditing, meets ethical and professional standards.
Enhanced Information Gathering for Investigations
The Commission will have clearer authority to require:
- documents
- records
- information
- cooperation within defined timeframes
This change means providers must maintain reliable, organised and up-to-date documentation across all areas of operation.
Alignment With the NDIS Review and Disability Royal Commission
The Bill directly reflects the reform direction recommended by the NDIS Review and Disability Royal Commission. Both identified:
- the need for early intervention
- better enforcement powers
- clearer accountability in the provider market
- stronger protections for participants
The reforms are part of a wider effort to build an NDIS that is safe, transparent and sustainable.
Common Compliance Pitfalls Providers Must Avoid
Inadequate Record Keeping
Poor documentation makes it difficult to comply with investigations or information requests.
Providers must have accurate, up-to-date and easily retrievable records.
Poor Marketing or Referral Practices
Marketing that confuses, misleads or pressures participants may be restricted under anti-promotion orders.
Providers should review all public-facing materials now.
Insufficient Staff Training
Workers need a clear understanding of safeguarding, reporting obligations and participant rights.
The Bill reinforces the need for competent, well-trained staff.
Weak Incident Management or Risk Governance
Delays or inconsistencies in reporting raise compliance concerns.
Strong systems reduce risk and improve response times.
Over-reliance on Third Party Consultants Without Oversight
Consultants themselves may now be banned if they engage in misconduct.
Providers should ensure any consultant or auditor they engage follows NDIS requirements.
Five Steps Providers Should Take Now to Prepare
1. Conduct a compliance audit
Review your governance, worker screening, incident management, documentation and marketing.
2. Refresh all marketing and promotional materials
Ensure claims are accurate, ethical and aligned with participant rights.
3. Strengthen worker training
Reinforce expectations around conduct, reporting, service delivery and communication.
4. Improve documentation and information systems
Ensure your organisation can quickly provide records when requested.
5. Seek expert support from qualified NDIS compliance advisors
Engage specialists like Labour Care to help update policies, systems and workforce training before the Bill takes effect.
What Happens Next in the Legislative Process
The Bill is now before Parliament and will undergo scrutiny, debate and potential refinement.
The NDIS Commission will release further guidance once the Bill progresses, and more details will be published through the Commission’s Reform Hub and newsletters.
Providers should stay up to date, as implementation may begin in stages throughout 2026.
Conclusion: A Stronger, Safer and More Transparent NDIS
The NDIS Integrity and Safeguarding Bill 2025 marks a significant step in strengthening protections for people with disability. For providers, it signals a clear direction: higher accountability, stronger governance, and greater transparency.
Preparing early will not only minimise risk but also strengthen trust with participants, families and regulators.
If you want support navigating these upcoming changes, Labour Care can help with compliance audits, policy updates, training and provider guidance. Reach out today to ensure your organisation is ready for the next phase of NDIS reform.
FAQs about NDIS Integrity and Safeguarding Bill 2025:
1. Does the Bill affect consultants, auditors, or third-party service providers, not just registered providers?
Yes. The Bill expands banning powers beyond just providers and workers to include auditors, consultants and others who support compliance or registration. If they engage in misconduct or unethical practices, they too can be banned under the new framework.
2. How might the Bill affect claims and payment processes under NDIS?
The Bill proposes modernising NDIS claims by introducing mandated electronic claim forms, aiming to reduce fraud and misuse. This may mean changes to your invoicing and record-keeping processes, especially if you currently use manual or paper-based systems.
3. Does the Bill only affect large providers, or are small providers and sole traders impacted too?
The Bill applies to all providers, regardless of size. Whether you’re a large organisation or a sole trader, if you deliver NDIS-funded supports and services, including high-risk or registered supports, you’ll need to meet the strengthened compliance, documentation, and reporting obligations.
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