Affordability presents barrier to universal childcare

To ensure all children can benefit from childcare, the government has been urged to reduce costs and fully subsidise early education for low-income families.

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FINDINGS FROM PRODUCTIVITY COMMISSION REPORT INTO EARLY CHILDHOOD EDUCATION AND CARE: or signup to continue reading * The federal government should completely cover childcare costs for families on incomes up to $80,000 and those with multiple children under five and earn less than $140,000 * The childcare subsidy activity test should be scrapped * Tackling affordability barriers will increase the cost of the federal government's childcare subsidy by 37 per cent to $17.4 billion per year, but this is also the most cost-effective option * It would also increase attendance at early childhood centres by about 10 per cent * State governments have been urged to help provide outside school hours care at public primary schools * All children should have access to high-quality early childhood education and care at least three times per week for 48 weeks a year * Children from vulnerable or disadvantaged communities are most likely to miss out on childcare, but would also benefit most if given access * Aboriginal and Torres Strait Islander children are under-represented in early childhood education and care * Reforms should be introduced over a longer period to avoid crowding out children and families experiencing disadvantage * The government should establish an independent commission to support, advise and monitor progress towards universal childcare * The Commonwealth has considered providing a universal 90 per cent childcare subsidy rate but this drives demand from families with higher incomes rather than poorer households who are already eligible for this rate Advertisement Sign up for our newsletter to stay up to date. We care about the protection of your data.

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