Families are one step closer to cheaper childcare with new laws

Families will have access to cheaper childcare next year when the federal government’s childcare grant laws pass Parliament.

The legislation passed the House of Representatives on Wednesday after the Senate approved changes on Tuesday.

That means families earning up to $80,000 will get a 90 percent childcare subsidy starting July next year.

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This decreases by 1 percent for every additional $5,000 in income earned, stopping at a threshold of $350,000.

An additional subsidy is also granted for second children and children under the age of five.

Indigenous children also receive 36 hours of subsidized care every two weeks.

Education Secretary Jason Clare said the legislation would make early childhood education more accessible to more families. Recognition: Mick Tsikas/AAP

Education Secretary Jason Clare said before the subsidy went into effect, two surveys would look at childcare costs and accessibility across Australia.

“Just like we have universal Medicare … just like we have universal pension … we need a universal early education system that gives all children the early education they deserve,” he said.

The Competition Authority will begin its price investigation in January, while the Productivity Commission will examine a range of issues in the childcare sector more comprehensively.

Childcare facilities will also have more reporting requirements to reduce fraud.

Early Childhood Education Minister Anne Aly said about 1.2 million families will benefit when the measure comes into force next year.

“It’s a good day for families and a good day for women and children across Australia,” she said.

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https://7news.com.au/politics/families-one-step-closer-to-cheaper-childcare-with-new-laws–c-8944017 Families are one step closer to cheaper childcare with new laws

James Brien

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