12 April 2018

Make the switch to new child care and early learning system

With the Coalition Government’s new child care and early learning system set to kick off in less than three months, it‘s time for Wide Bay families to “make the switch” to the overhauled system which starts on 2 July. 

Federal Member for Wide Bay Llew O’Brien said that there are more than 4,100 families in the community who will benefit from the new system.

“Through our new child care package, we have a plan to give parents more choice and opportunity to work, as well as provide children with a high quality early education” said Mr O’Brien.

“We want families to choose their child care around their work, rather than limit their work hours to suit their child care. 

“For some, access to child care can mean the difference between working and not working.  More affordable access to child care puts the opportunity of work within reach for more families” 

“The online transition portal is live and the most important thing families need to do right now is log on to their MyGov account and change to the new system. 

“To continue receiving their subsidies from 2nd July, families should visit www.education.gov.au/childcare and make the switchover as soon as they can so they’re ready for the new system from day one.” said Mr O’Brien.

Minister for Education and Training Simon Birmingham said the child care changes are focused on helping the families that need it most. 

“The Turnbull-McCormack Government’s overhaul of child care and early learning subsidies and extra $2.5 billion investment in the system will introduce hourly rate caps to put downward pressure on fee increases and abolish the annual rebate cap for most families,” Minister Birmingham said. 

“Overall it will mean around one million families benefit and it’s estimated the package will encourage more than 230,000 families to increase their workforce participation.

“The biggest winners will be families working, studying or volunteering, that earn less than $250,000 a year and even if your family has a higher income, you’ll still stand to gain from our change to lift the annual rebate cap to around $10,000.” said Minister Birmingham.

Recent changes to the Consumer Price Index have also seen hourly rate caps and annual caps increase and under the Coalition Government’s child care and early learning package:

  • More than 370,000 families earning around $66 958 or less a year will have their base subsidy increase from 72 per cent to 85 per cent 
  • Families earning up to $186 958, will no longer be limited by an annual $7,613 cap on the amount of child care they can access – that’s more than 85 per cent of families using child care and early learning and means families won’t run out of subsidy mid-year as happens now. 
  • Families earning between $186,958 and $351,248 will benefit from an increased annual rebate cap of $10,190 per child
  • Hourly rate caps will rise from $11.55 to $11.77 for Centre Based Day Care, $10.70 to $10.90 for Family Day Care, whilst families with children in Outside School Hours Care will also see their hourly rate cap rise from $10.10 to $10.29.   ENDS

Llew O’Brien’s media contact: Simon Kelly (07) 4121 2936

Minister Birmingham’s media contact: Benn Ayre 0428 342 325