Price limits for some services under the National Disability Insurance Scheme will be increased by the federal government, who will inject more than $850 million into the market from July 2019.
Therapists receive a minimum increase of almost $11 per hour, while the base limit for attendant care and community participation will be increased by up to 15.4 per cent.
Minister for Families and Social Services Paul Fletcher said the changes "form part of the National Disability Insurance Agency's annual price review to update prices that reflect market trends, costs in wages and other influences".
"It also responds to regular monitoring of markets and responding to emerging issues," he said in a statement on Saturday.
The government also announced a $1.3 million boost for Playgroup Australia to continue delivering programs that support children with a disability.
Assistant Minister for Social Services, Housing and Disability Services, Sarah Henderson said Playgroup Australia will also receive $200,000 to continue Better Start Community Events.
"These events are held across the country, including in regional, rural and remote areas to promote the benefits of playgroups for children and to help parents connect with local support services, including the National Disability Insurance Scheme," Ms Henderson said.
Ms Henderson made public additional changes to the NDIS allowing for some participants to switch from a standard 12 month plan to a two year plan before needing a scheduled review.
"We know this will be a positive change for many NDIS participants, so we encourage participants to have a conversation with their Local Area Coordinator or planner to discuss what is best for them," she said.
Labor said the announcement was "cynical politics" and a "knee-jerk reaction" to the NDIS crisis ahead of the election.
"The government should have been delivering the NDIS properly all along, not using it to prop up their budget," Linda Burney, Shadow minister for Families and Social Services, and Jim Chalmers, Shadow Finance minister said in statement.
Disability lobby groups and providers have responded positively to the news but flagged that more needed to be done to get the NDIS on track.
Acting CEO of National Disability Services, David Moody, said the price increase would make a real difference.
"Until now disability service providers have borne the brunt of inadequate NDIS prices, with 28 per cent operating at a loss and 1 in 10 discussing closure altogether," he said.
An alliance of Australia's largest disability service providers, Alliance20, described the announcement as "an important step forward", but that pricing was not the only issue.
Spokesperson Andrew Richardson said members were "keen to see rapid improvement in participant planning and review processes, transport arrangements, employment supports, workforce development, support for people with complex needs and people living in remote areas".
Australian Associated Press