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Reducing child poverty to increase productivity: A human capital strategy

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Brief to the Standing Committee on Finance Pre-Budget Consultation
Author: 
Rothman, Laurel
Format: 
Report
Publication Date: 
26 Sep 2005
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Excerpt from the submission: Campaign 2000 notes that important progress has been made toward the development of a cross-Canada system of early learning and child care services (ELCC). We are pleased with Recommendation 27 of your Committee's report last year that "the federal government, along with interested provincial/territorial governments, at the earliest opportunity, announce initiatives to reduce child poverty. These initiatives should include national, accessible, affordable, high-quality, publicly funded, publicly regulated, not-for profit child care system." This supports the recommendations of Campaign 2000 and many other groups including our partner the Child Care Advocacy Association of Canada (CCAAC). The 2005 federal budget commitment of up to $5 billion and the numerous bi-lateral agreements are important foundations for a national system. Campaign 2000 recognizes that a mature, universal system will require at least a decade to implement. The cost of a universal system of ELCC has been estimated at $10-12 billion. Current commitments are important and need to be strengthened and extended beyond 2009. In five years, the current goal is to reach $4.5 billion in annual child care funding to provinces and territories. Using $925 million as the current baseline, annual incremental federal funding increases of almost $900 million are required in each of the next four years. The resulting 2006 federal funding to provinces and territories for investment in regulated early learning and child care would be $1.825 billion.

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