Thriving Kids is now a real thing. Get ready!

In a nutshell:

With governments finally signing up to the public hospital deal on 30 January, Thriving Kids will start rolling out in phases from October 2026. The plan is for Thriving Kids to be fully operational by January 2028.

Recap:

Mark Butler’s original announcement of 20 August 2025 seems a very long time ago. If you’ve forgotten all about it, check out our overview.
Last year, we looked at the evidence base for some of the programs name-checked in Butler’s announcement, including Inklings, MHiPS, and Positive Partnerships. We were underwhelmed!

Why it matters:

Young kids, 0-8, with “mild and moderate developmental delays and autism” – yes I hate that term too – will be diverted from the NDIS, effectively “turning off” the early intervention NDIS pathway for thousands of kids currently seen by SLPs with NDIS funding.
Governments are working together to reduce the NDIS’ annual growth rate growth to 6% or less (down from the current target of 8%).
Thriving Kids will have a big impact on referral pathways, service delivery models, and even demand for SLP and other allied health services for kids. Paediatric SLPs should prepare!

What can we expect:

In late December 2025, the Australian House of Representatives published its 248-page report into Thriving Kids. At the time, many of us deferred reading it (or ignored it!) because it was released so close to Christmas and, in any event, we didn’t know if there would be a deal. It’s worth looking at now because it contains a useful recap of what to expect:

Funding model changes: Significant departure from the current fee-for-service NDIS model towards commissioned service models for affected kids, including block-funding. Expect more focus on multidisciplinary models, programs, data collection, and outcome measurement.
Referral pathway changes: Potentially one portal of entry for all children with developmental concerns, with multiple referral pathways. Looks like kids may be referred to specific providers/programs – rather than having choice and control over their providers.

(It might look a bit like this, but the details will vary by state!)

Service-delivery model changes: Thriving Kids to be delivered via “integrated, place-based services”, e.g. in community health centres, early childhood education centres, and schools. Expect a big increase in the use of telehealth, too, especially for rural and remote areas.
New provider registration requirements: Unclear, but will probably go the same way as the broader NDIS registration debate. More on this in next week’s Booster!
Key business implications:
- Thriving Kids will replace lots of services that are currently delivered in clinics.
- Solo, single-discipline metropolitan-based providers – with high competition and low tender capacity – face the highest business risks.
- Practice owners should:
  - continue to foster partnerships and local alliances with other allied health practices, early childhood services, preschools and schools; and
  - keep a close eye on the service gaps that will emerge with the changes, including potential options to support children and families who otherwise will lose access to some or all of their current services; and
  - stay positive and measured, recognising that overall demand for our services remains high, and that many worried children and families are looking to us for solutions – not additional stress.

Go deeper:

No child left behind – Parliament of Australia (Report)

This article also appears in a recent issue of Banter Booster, our free newsletter navigating problems for busy speech pathologists, one week at a time.