The early childhood sector has seen lots of action this year regarding funding, with each state doing their part to help relieve the pressures associated with childcare. The Federal Budget 2022 shows further funding is expected.
On 25 October, Treasurer Jim Chalmers handed down Australia’s Federal Budget 2022, with plenty of focus on the education sector.
The education sector has welcomed the Federal Budget 2022 after spending a considerable amount of time this last year crying out for help.
The Budget focuses on a few key areas within the sector, including assisting in the teacher shortage crisis, student wellbeing after COVID, as well as funding boosts for public schools and tertiary education.
But what does the budget say for the childcare sector specifically?
The Government has announced that they will be investing $4.7 billion over the course of four years to make the ever-increasing prices of childcare more affordable for Australian families.
“… Our early childhood educators guide our young ones and help them grow in those critical early years, for the best possible start in life – it’s more than care. It is cost-of-living relief with an economic dividend,” said Chalmers.
From July 2023, Child Care Subsidy rates will increase up to 90 per cent for eligible families earning less than $530,000. Families will continue to receive existing higher subsidy rates of up to 95 per cent for any additional children in care aged 5 and under.
These reforms will not only support children’s learning and development and their readiness for school, but it will allow more opportunity for parents, particularly women, to work as much as they want, assisting in alleviating job shortages across all industries.
For more information on the Budget, click here.