Labor’s child care scare campaign

Reports today that hundreds of thousands of families will be thousands of dollars worse off under the Government’s Jobs for Families package on child care are as false as they are fanciful, Minister for Social Services, the Hon. Scott Morrison said.

“These reports fail to take into account the extra $3.5 billion in assistance parents will see through the Jobs for Families package including:

• The new, more generous and streamlined Child Care Subsidy
• Removal of the cap on subsidies for families earning up to $185,000
• An increase in the cap from $7,500 to $10,000 per child for the total value of subsidies for family incomes of $185,000 and above
• A new Child Care Safety Net, to support families who are vulnerable and disadvantaged, with $327 million in additional funding for three new programmes supporting up to 95,000 children and up to 18,000 individual services and centres
• Establishment of a two year Nannies Pilot Programme to support 10,000 children in families who find it difficult to access mainstream child care services such as shift workers, nurses, police and families in remote and rural areas

“The Jobs for Families child care package will be better targeted and provide more assistance for low to middle income families in relation to all children,” Minister Morrison said.

“Under the Coalition Government’s plan, families on low to middle incomes with multiple children accessing care will be better off.

“Families using child care in 2017, on family incomes of between $65,000 and $170,000, will be around $30 a week better off. Those on higher incomes will, on average, continue to receive the same level of support.

“Our package will put downward pressure on child care costs. Importantly, it will reform the inflationary system in place under Labor which saw child care fees increase by over 50% between 2007 and 2013.

“Labor’s claims are desperate attempts to distract from their failure to support the Coalition Government’s $3.5 billion increased investment in child care and outline an alternative approach.

“The package was announced in May and has been subject to extensive consultation with the child care sector and families, both before and after its announcement. It has attracted widespread support from families and child care operators alike.

“The Coalition Government is committed to putting the $3.5 billion in additional funding for child care in place and we are working with the Senate to ensure that this increased investment can be funded. Meanwhile all Labor can do is attempt to scare Australians,” Minister Morrison said.