Senate debates

Thursday, 14 February 2019

Questions without Notice

Child Care

2:57 pm

Photo of Simon BirminghamSimon Birmingham (SA, Liberal Party, Minister for Trade) Share this | Hansard source

I thank Senator Gichuhi for her question in relation to the delivery of the government's new childcare reforms that came into effect on 2 July last year. Indeed, those reforms are now clearly making a substantial benefit in the lives of many hardworking Australian families. These were the most significant reforms to the way childcare support is delivered in Australia in around 40 years. They're the result of record levels of funding and investment by our Liberal-National government into the childcare system: some $8.3 billion in 2018-19, projected to increase to more than $10 billion in coming years.

But most important is the impact on hardworking families. ABS data shows that out-of-pocket childcare costs for Australian families went down by more than 10 per cent over the first six months of our reforms being in place. That's right—a 10 per cent reduction in the out-of-pocket costs for hardworking Australian families as they seek to juggle childcare services and those bills and fees in their daily lives. That's 10 per cent back into their pockets, enabling them to choose to work an extra shift or to work an extra day and know that they can afford the childcare fees that come with that.

This, of course, is the result of having a strong economy and strong budget management that enables the government to give that additional support back to families and to those who need it most. It's because of the strong economy and the strong budget that we're able to put an extra $2½ billion into early childhood education and care. It's because of that that we're able to lift the cap on support for 85 per cent of Australian families, and it's because of the strong economy and the strong budget that we're able to have implemented these reforms, saving these hardworking Australian families 10 per cent of their childcare costs and empowering them to make decisions about the work arrangements that better suit them and their circumstance.

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