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Childcare fees may rise up to $35 a day

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Author: 
Doherty, Elissa
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Publication Date: 
25 Aug 2010
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A recent OECD survey found Australian families paid among the highest sums in the developed world for childcare, ranking 12th out of 32 countries.

The revelation comes amid a row on childcare reforms, with some private centres warning of possible rises of between $3-$35 a day a child.

The Labor Party wants to bring in a COAG-approved national quality framework over several years, saying that after rebates it will cost parents $3 a day more.

The new rules will improve child/staff ratios, and wages and qualifications for staff.

But Liberal leader Tony Abbott said before the election he would freeze the reforms, questioning the impact on operators and parents.

The private childcare sector says fees could balloon by up to $35 a day a child -- before rebates -- under the changes.

The Child Care Centres Association of Victoria said many parents would not be able to afford care with the changes, and different ratios could cost 3000 places.

Association chief executive Frank Cusmano said that while the industry welcomed improvements, he disagreed with Government cost estimates.

"This is a classic case of well-intentioned initiatives having unintended consequences, which, in this case, will see families priced out of well-regulated, quality care and into unregulated backyard care," he said.

But the Community Child Care Association estimates the changes would mean about a $5 a day rise, saying most centres were already operating above minimum standards.

Executive director Barbara Romeril accused the private sector of running a national scare campaign, saying increases of up to $35 a day were not justifiable.

"They are running a scare campaign. It's nonsense," she said. Even a $5 a day rise could be unaffordable for low-income families.

Mr Cusmano denied he was scaremongering

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-reprinted from the Herald Sun