New report suggests simplifying and means testing childcare

New report suggests simplifying and means testing childcare

A simplified childcare subsidy system is just one of the recommendations of the Productivity Commission’s draft report on Childcare and Early Childhood Learning released today.

The draft Productivity Commission report has been released overnight proposing mainstream child care services, children with disabilities and additional needs and pre-school be the key focus funding areas of Childcare and Early Childhood Learning.

The report also recommends that the existing multiple childcare subsidies should be replaced with a single subsidy.

The new report into childcare suggests the childcare rebate for families should be means-tested with middle and upper-income families to pay more than they do now.

The draft inquiry report also suggesting government subsidies should be given to families who employ qualified nannies to allow more flexibility, especially for shift workers.

Presiding commissioner Dr Wendy Craik says the idea behind the report is to make childcare more affordable, flexible and accessible and also aims to encourage hundreds of women back into the workforce.

The Federal Government says there needs to be adaptations to child care in order to assist the 24/7 economy that Australia now lives in.

Assistant Education Minister Sussan Ley has told the ABC any adoptions of recommendations made by the Commission will be regulated by the government.

Further comment will now be sought on the draft report with the Commission to hold public hearings next month. Interested parties have until September 5th to make submissions.

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