UPDATE from Federal Budget Childcare Subsidy

Early in May this year we looked at the implications that the Federal Budget had on working families, the childcare subsidy and the childcare industry in general. There has been further development on this matter in recent weeks about the changes that are to come into play in July 2017. Key points to note from the article that was written by Julie Doyle a political report for ABC are as follows:

  • Existing subsides would be streamlined into one mainstream payment to parents;
  • Low-income-earners making less than $65,000 will receive a subsidy covering 85% of their childcare costs;
  • The cap on the annual amount families can receive will increase from $ 7,500 to $ 10,000 per child.

The childcare industry states that they welcome some of the changes in the government’s package however there are areas where they have missed an opportunity to provide more support to vulnerable children and families. The opposition is demanding a Senate Inquiry into the governments package.We will be keeping a close eye on this topic and will keep track on any new developments that are made aware. To read the full article – click here.