An Australian-first rebate aimed at making parenthood easier for thousands of couples will be limited within months, sparking fears the move will drive down already declining birth rates.
More than 14,000 women have been able to receive a $2000 cash rebate for IVF treatment since it was introduced as part of the then-coalition NSW government's women-focused budget in 2022.
But the state government will apply an income test on applicants from February, citing the cost of a scheme that had been hit with higher-than-expected demand.
The changes were disappointing as many people struggle with living costs, Monash IVF Sydney's clinical director said.
"NSW has really led the way with this rebate and the fact that so many people have claimed it since January last year demonstrates why it’s needed and why it should continue to be provided to all fertility patients," Katrina Rowan said on Friday.
"Fertility rates across Australia are at an all-time low at 1.5 children per woman, less than the 2.1 which is required for population replacement.
"The NSW fertility rebate has helped patients access fertility treatment and taking the rebate away may lead to a further decline in fertility rates."
Applicants will from February 19 need to show they receive the family tax benefit, hold a government health care card or have an annual household income of $116,000 or less.
Opposition Leader Mark Speakman said the income test equated to $58,000 per person, or about $25,000 less than the starting salary of a teacher.
"This is a cruel, distressing blow for the thousands of women and their partners who were relying on this subsidy to support their dreams of having a family," he said.
Labor said the coalition allocated $24 million over four years for the scheme but that money had run out in less than two.
"We obviously want to help people, but the number of people that applied for the scheme was far beyond what the government could afford," Premier Chris Minns told reporters.
"I apologise for it, I know that a lot of families struggle, they want to have kids, they need help to do it (and) cost of living is obviously a big impact on family budgets."
Another 24,100 women would be able to access support after $52.2 million was allocated to the fund.
It forms part of a $130.9 million Family Start Package which includes support for pre-IVF fertility testing and lower-cost IVF treatment at publicly supported clinics operating at Royal Prince Alfred Hospital, Westmead Hospital and the Royal Hospital for Women.