ACCC Raises Concerns Over NDIS Provider Conduct, Warns of Consumer Law Breaches
Australia’s competition and consumer watchdog has highlighted risks for participants in the National Disability Insurance Scheme (NDIS) from provider practices that may breach consumer protection laws.
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In a new report, the Australian Competition and Consumer Commission (ACCC) says it has received a significant number of complaints and identified trends of conduct by some NDIS providers that could violate the Australian Consumer Law (ACL). The report follows collaborative work by the ACCC alongside the National Disability Insurance Agency (NDIA) and the NDIS Quality and Safeguards Commission.
The watchdog’s findings point to a range of issues including false or misleading advertising, particularly claims that products or services are “NDIS-approved” or eligible for NDIS funding when they are not; failure to honour consumer guarantees, such as not providing products or services that were paid for; charging for goods not supplied or services delayed, among others.
ACCC Deputy Chair Catriona Lowe said harmful conduct by some providers can lead to financial loss and worse outcomes for people with disability who rely on essential supports. “Such conduct is completely unacceptable,” she said, noting that actions to address these concerns remain a priority.
The ACCC has already taken enforcement action against some providers. Legal proceedings were initiated in 2024 over alleged ACL breaches, and infringement notices have been issued to businesses including Bedshed and Thermomix for misleading claims about NDIS endorsement of products. A court-enforceable undertaking was also provided by Mable Technologies for using unfair contract terms.
Under Australian law, the ACL applies to transactions between NDIS participants and providers, and the ACCC works with state and territory consumer regulators to enforce compliance. Participants who believe they have been misled or had their rights under the ACL breached are encouraged to report concerns to the ACCC.
The ACCC’s report comes amid broader regulatory attention on the NDIS market. Government efforts to curb misleading claims by providers have included campaigns by the NDIA to combat deceptive “NDIS-approved” advertising, and this enforcement focus forms part of a wider initiative to strengthen protections for scheme participants.
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