EXCERPTS
Childcare groups have urged the Gillard government not to means-test the childcare rebate as its razor gang looks to make savings ahead of the May 10 budget.
Childcare Alliance Australia president Gwynn Bridge yesterday said the government must rule out imposing any new restrictions on the 50 per cent rebate.
News Limited's Sunday newspapers reported the government was looking at means-testing the rebate for families with a combined income of between $150,000 and $200,000.
The government is also reportedly looking to apply a new work test to the rebate, which could limit the assistance available for stay-at-home mums. The rebate pays families up to $7500 a year for each child in care.
Treasurer Wayne Swan yesterday declined to comment on whether cuts to childcare were on the table for May's budget. Speaking on Sky's Australian Agenda, Mr Swan said: "I'm not going to comment one way or the other on that sort of speculation."
Ms Bridge said any move by the government to crack down on the childcare rebate ran counter to Prime Minister Julia Gillard's promise to lift workforce participation.
"We know that if these reforms are implemented that the labour supply of married mothers will decrease," Ms Bridge said yesterday.
"We know these cost pressures could force tens of thousands of children out of quality early learning programs altogether."
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Data collected last year by the CAA found childcare was a significant cost burden for about 80 per cent of families, with one in four Australian families saying they were having trouble meeting their childcare payments.
- reprinted from the Australian