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NDIS psychologists’ fee cuts a regressive step that will hurt communities 

12 June 2025 

The NDIS decision to reduce fees for psychologists in Western Australia, South Australia, the Northern Territory, and Tasmania is a backward step that will threaten service viability and access for Australia’s most vulnerable people.

From 1 July 2025, the NDIA will remove jurisdictional loadings and introduce a national price limit of $232.99 per hour for psychology supports. This will result in a net reduction of $11.23 per hour for psychologists in WA, SA, NT and Tasmania.

Australian Association of Psychologists (AAPi) Executive Director Tegan Carrison, said the move was completely at odds with the NDIA’s own findings.

“The NDIA report clearly shows that the current national psychology price limit of $229.99 already sits well below the prevailing market rates of $247.00 and $251.00 per hour, as observed in private health insurance and Medicare data,” she said. 

“Rather than lifting underpriced jurisdictions up, the NDIA has chosen to drag them down. This will disproportionately impact rural, remote, and underserved communities where psychologist shortages are already chronic.”

Ms Carrison said the NDIA’s own report acknowledged that “the current price limits may not adequately reflect prevailing market rates” and recommended only a modest $10 increase at a national level. 

“Instead of using this opportunity to rectify inequitable pricing across Australia, the Agency has opted for a uniform cap that sacrifices equitable access in smaller states and territories.

“This is not pricing reform - it’s pricing regression,” said Ms Carrison. “It undermines service sustainability in the very areas where clients struggle most to access timely, face-to-face psychological support.

“We are calling on the NDIA to immediately reverse the planned price reductions in WA, SA, NT and Tasmania and instead raise the national price limit to accurately reflect the true cost of service provision, as evidenced by benchmark market data.

“Fair access requires fair pricing. AAPi will not stand by while critical services are priced out of regional Australia,” Ms Carrison said.

ENDS

 

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