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Government considering new levy to fund NDIS

Finance Minister Penny Wong has confirmed the Government is considering a levy to fund the National Disability Insurance Scheme (NDIS) as it tries to plug a revenue hole in next month's budget.

 

Prime Minister Julia Gillard had previously ruled out a Medicare-style levy to pay for the scheme, but it is now back on the table.

 

News Limited has reported the Government is seriously considering increasing the Medicare levy from 1.5 per cent to 2 per cent in the budget, meaning the average worker would pay an extra $300 a year.

 

"We're considering a number of funding options and a levy is something stakeholders have been calling for in the last 24 hours," Finance Minister Penny Wong told ABC Radio National this morning.

 

"Whatever option you look at, you have to look at what will give security to people with a disability, what will ensure we have a strong scheme, not just for a couple of years but for the decades ahead and that's - and what is a fair approach in terms of making sure as the Prime Minister said, we all fairly contribute.