Centacare closure adds to wave of NDIS provider exits

Centacare, a major disability service provider in south-east Queensland, has announced it will close all of its NDIS disability services by November, affecting around 700 participants and 600 staff. Families were given 90 days’ notice, leaving many scrambling to find new providers in time for Christmas.

Parents say the news came “out of the blue.” One mother, whose daughter attends a Centacare life-skills hub, said the move will be deeply disruptive. “She really struggles with change… for her to have to move somewhere else will be really difficult,” she said.

Centacare leaders said an independent review found the services were no longer financially sustainable. After more than 40 years in disability support, they could no longer absorb mounting losses.

Not an isolated case

Centacare is the latest in a series of closures:

• Annecto, which supported 4,400 clients across four states, shut down in July.
• PlayAbility in regional NSW closed suddenly in August, leaving families in the Bega Valley without support.
• Afford, one of the country’s largest and oldest providers, has cut community hubs and employment services after years of financial losses.

Unions warn closures are becoming “more and more common” as organisations face cost pressures they cannot meet under current NDIS pricing.

Why providers are closing

• Funding doesn’t keep up with costs: Price caps and limited indexation leave providers running at a loss, especially after wage rises.
  Rural pressures: Cuts to travel reimbursements make it harder to deliver services in regional areas.
• Workforce stress: Staff shortages, high turnover and rising admin demands push organisations to the brink.

Impact on people with disability

Each closure means participants and families must rebuild relationships, routines and trust with new providers. In many areas, there are limited alternatives. Advocates warn this is leaving some people without the supports they need.

Calls for reform

Sector leaders are calling for urgent action to make the NDIS sustainable for both participants and providers. Without change, more closures could follow — and the promise of choice and independence for people with disability risks being eroded.