The Federal Government’s Cheaper Child Care changes have cut the cost of childcare for Australian families, according to the latest Consumer Price Index (CPI) report.
Childcare affordability improved by 13.2 per cent nationally according to the report released yesterday by the Australian Bureau of Statistics (ABS).
The ABS estimates that without the changes to the Child Care Subsidy, childcare costs for families would have increased by 6.7 per cent.
All major cities have seen childcare costs for families drop by at least 10 per cent, with some seeing a reduction of more than 17 per cent.
Federal Minister for Education Mr Jason Clare said the Albanese Government’s changes to the Child Care Subsidy introduced in July have made early childhood education and care more affordable for around 1.2 million Australian families.
“These changes are cutting the cost of childcare and putting downward pressure on inflation,” he said.
“Cheaper Child Care is good for children, good for parents, and good for the economy. This is real cost-of-living relief for families, but there is more to do,” he said.
Federal Minister for Early Childhood Education Dr Anne Aly said more affordable quality early childhood education and care is a big win “for families, for women and for children”.
“Families now have greater choice when it comes to balancing the early learning needs of children along with being able to work more hours to boost household income,” she said.
“Quality early childhood education and care sets children up to succeed at school, in higher education and throughout life.”
Cheaper Child Care has increased the base subsidy rates for all families earning up to $530,000, with the maximum subsidy now set to 90 per cent for families earning $80,000 or less.
Quarterly change in Child Care CPI% (Jun qtr. 2023 – Sep qtr. 2023) by Capital City
Sydney: -10.6%
Melbourne: -17.5%
Brisbane: -13.6%
Adelaide: -18.0%
Perth: -12.4%
Hobart: -14.0%
Darwin: -12.4%
Canberra: -11.9%
National: -13.2%
