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Home >  News & advice > May 2021 > Subsidy changes great news for families

Subsidy changes great news for families

Australia’s largest child care and early learning provider has welcomed the Government’s decision to increase child care subsidy rates for families with two or more children and to remove the annual cap on subsidies.

Goodstart Early Learning CEO Julia Davison described the decision as great news for families.

“This will make a real difference for 250,000 families with two or more children under five where there is no financial incentive to return to work because of high out of pocket costs,” she said.

“The removal of the annual cap will also reduce stress of many families who run out of subsidy towards the end of the financial year and then need to scramble to make ends meet.

“These are welcome changes that will make a real difference to removing barriers to returning to work or increasing work days that many families face.

“We are pleased that the Government has recognised the role that effective marginal tax rates play in creating barriers to working more, and look forward to further discussion with Government about what else can be done to support more families wanting to work more days,” Ms Davison said.


Posted by Goodstart
02 May 2021

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