Rising disability rates in Australia - Survey of Disability, Ageing and Carers

Data recently released by the Australian Bureau of Statistics (ABS) reveals that more than 5.5 million Australians, or 21.4% of the population, are living with a disability. This represents a significant increase from 17.7% in 2018. Prior to these recent rises, the proportion of Australians with a disability had remained relatively stable for two decades at around 15%.

Of the people in Australia with a disability 534,000, or 9.7%, are supported by the National Disability Insurance Scheme (NDIS). This proportion has more than doubled since 2018, when only 4.4% of the disabled population received support from the Scheme.

The Survey of Disability, Ageing and Carers (SDAC) provides a crucial population-wide view of the challenges faced by individuals with a disability and the way they can address those challenges.

Australia’s ageing population is frequently highlighted as a major factor driving the increase in disability rates. In 2022, older Australians—those aged 65 and over—comprised 17.1% of the total population, up from 15.9% in 2018. This age group has higher disability rates compared to younger individuals, with 52.3% of older Australians reporting a disability in 2022, up from 49.6% in 2018.

Despite the growing number of older Australians with disabilities, their share of the total disabled population has decreased, from 44.5% in 2018 to 41.7% in 2022. 

Chart 1: The prevalence of disability in all Australians by age

Source: ABS Survey of Disability, Ageing and Carers

The latest data shows a sharp increase in disability rates for people aged under 24. Indeed, for the first-time rates of disability among this group are higher than those among adults aged 25-44.

Some of this increase is because  a range of conditions and challenges are more widely recognised and better diagnosed today than they were in years past. In particular, the number of children diagnosed with Autism Spectrum Disorder has been growing rapidly in recent years. 

Overall, the rollout of the NDIS is a clear point of difference this time around. A major shift in the national social compact, the scheme has shifted the balance from stigma towards support for some people with a disability. People have become more comfortable disclosing their disabilities as attitudes change. Additionally, some conditions that were not previously recognised as disabilities are now being identified as such, especially with the availability of funding to address them. This is notably true for developmental delays.

However, the increased prevalence of disabilities among today’s youth may lead to a much higher proportion of Australians aged under 65 living with a disability, placing a greater strain on the NDIS over time. 

The survey also highlights the crucial role of unpaid carers in Australia, a group that numbers around 3 million people - or almost 12% of all Australians. Unpaid carers are integral to the support system for Australians living with disabilities, both young and old. Their contributions are vital in maintaining and enhancing the health, wellbeing, and overall quality of life for those they care for. The survey's findings not only shed light on the scale of caregiving in Australia but also highlight the personal sacrifices and dual challenges faced by many carers.

A particularly notable finding from the latest survey is the substantial rise in the percentage of primary carers who themselves have a disability. This figure has increased markedly from 32.1% to 43.8%, underscoring a growing trend where those providing essential care and support are also managing their own health challenges.

This newsletter was distributed on 10th September 2024. For any questions/comments on this week's newsletter, please contact our authors:

This blog was co-authored by Doug Ross, Principal Economist at Deloitte Access Economics

Click on the links below to read our previous Weekly Economic Briefings:

• Australian economy continues to shrink on a per capita basis (04 Sept)
  
• Retail Forecasts: Retail recession – the sequel (29 Aug)
• Employment Forecasts – Jobs: growth and stagnation (22 August)
• World Competitiveness Rankings 2024 (13 August)