What Happens If You Don't Register for SIL by July 2026?
From 1 July 2026, every provider delivering Supported Independent Living (SIL) supports must commence transition to be registered with the NDIS Quality and Safeguards Commission. There are no exemptions from the requirement. Providers who have commenced registration are expected to be permitted to continue delivering supports while their application is processed, but this is subject to transition guidance still being finalised by the Commission.
If you are currently delivering SIL without registration, this article explains exactly what happens if you do not register, what it means for your participants, and what enforcement the NDIS Commission can take.
The Minister for the NDIS has been direct: providers who cannot meet registration requirements will need to "shape up or ship out."
The Hard Deadline: What 1 July 2026 Means
On 1 July 2026, the transition to mandatory SIL registration commences. From this date:
- All SIL providers must hold formal NDIS registration or be transitioning to NDIS registration
- Unregistered providers will no longer be permitted to deliver SIL supports
- Certification audit will be mandatory
- Providers will be subject to ongoing regulatory monitoring
The Commission commenced releasing transition guidance from February 2026. Monitor the NDIS Commission website for the latest updates as further detail is released. However, providers should not interpret "transition" as an extended grace period. The Commission has made clear that unregistered providers will eventually be unable to deliver SIL supports if they do not complete registration.
What Happens If You Continue Delivering SIL Without Registration?
If you continue delivering SIL supports after the transition period without being registered, you face serious consequences.
You Cannot Claim NDIS Payments
Unregistered providers will not be able to claim payments for SIL supports from the NDIS. This applies regardless of how the participant's funding is managed:
- Agency-managed participants can only use registered providers (this is already the case)
- Plan-managed participants will only be able to use registered SIL providers after mandatory registration commences
- Self-managed participants will only be able to use registered SIL providers for SIL supports
If you deliver SIL without registration, you will not be paid.
NDIS Commission Enforcement Action
The NDIS Quality and Safeguards Commission has enforcement powers it can use against providers operating without required registration. These include:
Compliance notices The Commission can issue a notice requiring you to stop delivering SIL supports immediately.
Infringement notices The Commission can issue fines for breaches of the NDIS Act, including delivering supports without registration when registration is required.
Banning orders The Commission can ban individuals from providing NDIS supports entirely. A banning order can apply to company directors, key personnel, or the organisation itself.
Court action In serious cases, the Commission can pursue civil penalties through the courts.
The Commission has stated it wants "providers to meet clear and consistent standards so participants can feel confident about the supports they receive" and that "registration isn't a once-off exercise, providers must continuously meet quality standards or be held accountable."
Reputational Damage
Operating without required registration signals to participants, families, support coordinators, and the sector that you are unwilling or unable to meet quality and safety standards. This damages your reputation and makes it harder to attract participants, staff, and referrals in the future.
What Happens to Your Participants?
If you do not register, your participants will need to transition to a registered provider. This is disruptive and potentially distressing, particularly for participants with complex needs who rely on continuity of support.
Participants Must Find a New Provider
Participants currently receiving SIL from unregistered providers will need to:
- Identify registered SIL providers in their area
- Transition their supports to a new provider
- Build new relationships with unfamiliar support workers
- Adjust to potentially different service models and approaches
For participants who have been with you for years, this transition can be significant. Continuity of care is important for people with complex support needs.
Risk of Service Gaps
If there are limited registered providers in your area, participants may face service gaps while transitioning. This is a particular concern in rural and regional areas where provider choice is already limited.
Participant Funding Is Not Affected
It is important to note that mandatory registration does not affect participant funding. Participants' NDIS plans, SIL funding, and eligibility remain the same. This is a provider requirement, not a funding change.
However, participants can only spend their SIL funding with registered providers after mandatory registration commences.
Why Some Providers Will Not Make It
The government has acknowledged that not every currently unregistered SIL provider will successfully transition to registration. Some will exit the market.
The Registration Bar Is High
SIL registration requires:
- Certification audit (the most comprehensive NDIS audit pathway)
- Compliance with the Core Module plus supplementary modules
- Documented policies and procedures that reflect your actual operations
- Worker screening for all staff
- Governance, risk management, and incident management systems
- Evidence of implementation, not just documentation
Providers who have operated without oversight may find significant gaps between their current operations and what registration requires.
The Cost Is Significant
Registration costs include:
- Certification audit: $5,000 to $15,000+
- Policy development (if using consultants): $2,000 to $8,000
- Worker screening: $107 to $157 per worker
- Insurance: $2,000 to $8,000 annually
- Ongoing compliance costs
For smaller providers operating on tight margins, these costs may be prohibitive.
The Preparation Takes Time
Preparation for registration — including gap analysis, policy development, and audit readiness — can take 6 to 12 months. The formal registration process itself, from application to Commission decision, typically takes 3 to 6 months. If you haven't started preparation, you are already behind.
Some Providers Should Not Be Registered
The Minister has been explicit: "It's likely there are some unregistered providers currently operating who wouldn't meet the high standards required of registered providers."
The intent of mandatory registration is to raise the bar for SIL services. Providers who cannot meet that bar are expected to exit. This is a feature of the policy, not a flaw.
What About Transition Arrangements?
The NDIS Commission has stated that transition arrangements will be released in early 2026 to give providers adequate time to prepare.
However, providers should not assume transition arrangements will allow extended unregistered operation. Based on the Commission's public statements, the transition period is intended to allow providers to complete registration, not to continue operating indefinitely without it.
What We Know
- 1 July 2026 is when mandatory registration commences
- Providers do not need to be fully registered by this date, but must be actively progressing through registration
- The Commission will specify a date by which unregistered providers must cease delivering SIL supports
- There will be no grandfathering provisions
What We Do Not Know
- The exact timeline for transition
- Whether there will be interim arrangements for providers partway through registration
- How the Commission will manage participants of providers who do not complete registration
Monitor the NDIS Commission website for updates as transition details are released.
What About Independent Support Workers?
If you are an independent support worker delivering SIL-funded supports directly to participants, you face the same requirement.
After 1 July 2026, independent workers delivering SIL supports must work under a registered SIL provider organisation. You cannot continue delivering SIL-funded supports independently without registration.
Options for independent workers include:
- Work as an employee or contractor for a registered SIL provider
- Form or join an organisation that becomes registered
- Transition to delivering other (non-SIL) supports that do not require registration
Regional and Rural Concerns
The mandatory registration requirement has raised concerns about provider choice in regional and rural areas, where there are already fewer providers.
If smaller, unregistered providers in regional areas cannot afford registration or choose not to pursue it, participants in those areas may have even fewer options.
The NDIS Commission has acknowledged this concern and committed to a "considered transition period" to ensure continuity of support. However, the registration requirement itself will not be waived for regional providers.
If you operate in a regional area, the case for registering is arguably stronger. Participants in your area may have limited alternatives if you exit the market.
What You Should Do Now
If you are currently delivering SIL without registration, you have a decision to make.
Option 1: Register
Begin the registration process immediately. This means:
- Conduct a gap analysis against the NDIS Practice Standards
- Develop or update policies and procedures
- Implement systems and train staff
- Lodge worker screening applications for all workers
- Submit your NDIS registration application
- Book and complete your certification audit
The process takes 6 to 12 months. If you have not started, you are already behind.
Option 2: Exit SIL
If you determine that registration is not viable for your organisation, whether due to cost, capability, or choice, you need to plan your exit responsibly.
This means:
- Communicating early with your participants about your intentions
- Working with support coordinators to identify alternative providers
- Supporting participants through the transition
- Providing adequate notice so participants are not left without supports
Exiting abruptly and leaving participants stranded is not acceptable and could still attract Commission attention.
Option 3: Merge or Partner
If you cannot afford registration independently, consider whether partnering with or merging with a registered provider makes sense. Some smaller providers are choosing to operate under the auspices of larger registered organisations rather than pursuing independent registration.
The Bottom Line
Mandatory SIL registration is happening. The government has made clear that providers who cannot meet the standard will exit the market. The NDIS Commission has enforcement powers to ensure compliance.
If you want to continue delivering SIL supports, you must register. If you do not register, you will not be able to deliver SIL, you will not be paid, and you may face enforcement action.
The time to act is now.
How Provider+ Can Help
Provider+ has helped thousands of providers get registered, pass audits, and maintain compliance. We understand the urgency of the July 2026 deadline and the specific requirements for SIL certification.
We offer:
- End-to-end registration support, from application to audit
- Compliance gap analysis to find gaps before your auditor does
- Policy and procedure packs tailored to SIL and high-intensity supports
- Self-assessment guidance to meet Commission standards
- Certification audit preparation with step-by-step support
- Auditor introductions, connecting you with experienced NDIS auditors
Book a free 30-minute call with our team to clarify the process, confirm you have everything in place, and map out your pathway to registration.
Frequently Asked Questions
Can I continue delivering SIL after 1 July 2026 if my registration is still in progress?
Transition arrangements are expected to allow providers who have commenced registration to continue delivering services while their application is processed. However, specific details are subject to NDIS Commission guidance. Do not assume you can start the process at the last minute and continue operating indefinitely.
What if I only deliver SIL to self-managed participants?
After mandatory registration commences, self-managed participants will only be able to use registered providers for SIL supports. The funding management type does not exempt you from the registration requirement.
Can the NDIS Commission actually enforce this?
Yes. The Commission has enforcement powers including compliance notices, infringement notices, banning orders, and court action. The Commission has stated it wants to ensure participants receive safe, quality supports and will hold providers accountable.
What happens to my participants if I do not register?
Your participants will need to transition to a registered provider. This is disruptive for participants, particularly those with complex needs. If you decide not to register, give your participants as much notice as possible and support them through the transition.
Is there any way to get an exemption from registration?
No. There are no exemptions or grandfathering provisions. All providers delivering SIL supports must register. The only way to continue delivering SIL is to complete registration.
How much does SIL registration cost?
Total costs typically range from $8,000 to $25,000+ depending on your organisation's size. This includes certification audit ($5,000 to $15,000+), policy development, worker screening, and insurance. The NDIS Commission application itself is free.
What if I cannot afford to register?
If registration is not financially viable, you will need to exit SIL service delivery. Consider whether partnering with or working under a registered provider is an alternative. If you must exit, do so responsibly by supporting your participants to transition to other providers.
Can I just become a contractor for a registered provider instead?
Yes. If independent registration is not viable, you can work as an employee or contractor for a registered SIL provider organisation. Your workers can continue supporting participants, just under a registered entity rather than independently.
What enforcement has the NDIS Commission actually taken against unregistered providers?
The Commission has used its enforcement powers in various cases, including banning orders against individuals and compliance action against providers. With mandatory registration for SIL, expect increased enforcement focus on providers operating without required registration.
When will we know the full transition details?
The NDIS Commission has stated that more information on transition arrangements will be provided in early 2026. Monitor the NDIS Commission website and sign up for their updates to receive information as it is released.
This article was published on 17/04/2026 We strive to keep our content accurate and up to date; however, NDIS Commission rules and requirements can change. For the latest information, visit the NDIS Quality and Safeguards Commission website or contact our team.
.webp)