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Home Latest News

Childcare fee relief helps NSW families with cost-of-living crisis

by Rhiannon Bowman
January 22, 2025
in Department of Education, Latest News, Policy and Reform
Reading Time: 2 mins read
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Image: kimly/stock.adobe.com

Image: kimly/stock.adobe.com

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The parents and carers of a record 200,000 children in NSW were provided with fee relief for attending early childhood education and care throughout 2024, according to new Department of Education data.

The NSW Government last year made a record $430 million investment to help families with three-, four- and five-year-olds, with the cost of early childhood education and care.

NSW Department of Education data shows:

  • This investment helped the families of around 200,000 children last year, with parents or carers receiving a subsidy to reduce the costs of early childhood education and care.
  • Families of more than 64,000 three-year-old children attending long day care were eligible for fee relief for the first time in 2024, under an initiative introduced by the NSW Government.
  • In 2025 the families of at least 200,000 children will be eligible to access fee relief.

Families can now apply for fee relief at their chosen early childhood education and care service for this year. Eligible services will pass on the savings as a weekly reduction in fees.

From January 1, 2025, NSW families can receive:

  • Up to $4,347 a year for three- to five-year-olds attending eligible community and mobile preschools
  • Up to $2,174 a year for children aged four and above attending eligible preschool programs in long day care services. This can be received on top of the Australian Government Child Care Subsidy payment.
  • Up to $515 a year for three-year-olds attending eligible preschool programs in long day care services, on top of their Australian Government Child Care Subsidy payment.

Research shows that children who attend quality early childhood education and care for two days a week, or 600 hours a year in the two years before starting school, gain lifelong benefits. This supports their social, emotional, and cognitive development, with these benefits evident throughout their schooling years and into further study or the workforce.

The NSW Government is also investing an additional $40 million in 2025 to drive improved quality in long day services delivering preschool programs for three-year-olds. Funding can be used by the services to pay salaries of early childhood teachers and educators, buy educational resources and develop quality early childhood education programs.

In addition to fee relief, the Government has made the largest ever investment in public preschools. The Government will also build 100 new public preschools in public schools by 2027, the largest ever expansion in NSW.

More information on Start Strong fee relief is available on the Department of Education website.

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