News

100,000 families to hit childcare crunch in months

Childcare subsidies will run out for thousands of Australian families in coming months.
Childcare subsidies will run out for thousands of Australian families in coming months.

ONE in 10 families who use childcare, about 100,000, will be crippled by childcare costs by June, with their $7500 ­rebate cap exhausted.

Exclusive Government projections obtained by News Corp Australia shows by next month about 36,000 families are expected to reach their CCR annual cap of $7500 for the financial year, meaning they will be slugged with the full cost of childcare - in some cases up to $200 a day - for four full months.

The figures come as Prime Minister Malcolm Turnbull steps up his attack on Labor over its failure to support the reforms tied to its omnibus Bill, saying Bill Shorten was abandoning working mums.

"Labor has abandoned working mums," the PM said last night. "We want to make child care more affordable, available, accessible and flexible."

According to the Government projections, by the end of June 94,000 families would have reached their childcare rebate cap, close to 20,000 more than last financial year.

Already by January 15, 3673 families had reached the CCR annual cap and were facing six full months of childcare costs without any assistance.

By next month that figure is expected to hit 36,600 according to official projections and by May 76,100 will be crippled by childcare costs.

Under current childcare benefits families get $7500 in subsided assistance. When they reach the cap, they are forced to pay for the full cost of the service on their own.

In the Government's proposed legislation, the cap will be abolished for families with a combined income less than $185,000. Those earning more than that will have the cap increased to $10,000 in benefits.

Education Minister Simon Birmingham said last night the legislation was designed to stop families falling off a "fin­ancial cliff".

"Thousands of families are starting the new year having already run out of assistance for meeting the cost of early childhood education and care and by the end of June we estimate around 94,000 families will hit the rebate cap," Mr Birmingham said.

Education Minister Simon Birmingham said last night the legislation was designed to stop families falling off a "fin­ancial cliff".

"Thousands of families are starting the new year having already run out of assistance for meeting the cost of early childhood education and care and by the end of June we estimate around 94,000 families will hit the rebate cap," Mr Birmingham said.

This article originally appeared on Kidspot.

News Corp Australia

Topics:  childcare editors picks


Stay Connected

Update your news preferences and get the latest news delivered to your inbox.

Councillor denies conflict of interest

Moreton Councillor Peter Flannery has denied a conflict of interest after voting on a matter which involved a donor to a trust that gave money to his campaign.

CCC hearing day four: Mayor paid for candidate’s campaign

Auction to help young family battle on against brain disease

TOUGH RUN: Kylie Willis and partner Daniel Cant with their four children in happier times before complications with Kylie's Idiopathic Intracranial Hypertension.

Friends are raising funds to help support Kylie and her family.

52 Pick Up Challenge comes to Bribie

CLEAN UP: Tamara Neill's children Liam and Isaac Neill are learning from a young age the importance of looking after the planet.

The challenge encourages people to think differently about rubbish.

Local Partners

Sutherland too sick to check list of donors

Moreton Bay mayor Allan Sutherland has told a corruption inquiry he was too sick to check his emails and see who donated thousands to a trust that backed him.

What public holidays are left in 2017

HOLIDAYS: Out and about at Dicky Beach are Janine and Cooper, 3, Smith with Tamara and Harrison Polzin, 18 months.

THE Easter break is almost over but there are plenty of days off yet

Patti Smith: the mother of punk gave Jim Morrison his wings

Patti Smith at Bluesfest 2017 in Byron Bay.

One of the most exhilarating performances in recent Blues history

UPDATED: Patti Smith donates large sum for flood recovery

Patti Smith at Bluesfest 2017 in Byron Bay.

The artist performed two shows at Bluesfest 2017

Logies 2017: Meldrum's odd speech as Samuel Johnson wins Gold

SAMUEL Johnson’s Gold Logie win was swiftly overshadowed when his speech was taken over by Australian media icon Molly Meldrum.

Logies 2017: Who's taken the coveted gongs?

Kerri-Anne Kennerley poses with the Hall Of Fame Logie Award.

Award winners from Australian television industry's night of nights

Logies 2017: Samuel Johnson dedicates award to sister Connie

Samuel Johnson wins Best Actor at 2017 Logies.

'My sister is succumbing to the perils of cancer': Samuel Johnson

Logies 2017: Dave Hughes roasts Channel Seven CEO

Dave Hughes hosts opens the 2017 Logies.

Hughes sends shockwaves through Logies audience

Logies 2017: Stars are dazzling as the night begins

Karl Stefanovic and Lisa Wilkinnson hit the red carpet.

Melbourne's rolled out the red carpet for tonight's Logie Awards

Logies 2017: Karl stays sober to keep his body a temple

After famously being accused of being a little worse for wear at previous Logies, Karl Stefanovic reckons he is staying sober because his "body is a temple".

He's laying off the booze because his body is a temple, he said.

Logies 2017: She's in white but they aren't in jackets

She's still claiming ownership of white, apparently.

What dodgy real estate ads really mean

This dilapidated house was described as an ‘Edwardian timber home, open to your imagination’. That’s a nice way of putting it.

Real estate writing is just outsourced lying, says one writer

SOLD: Iconic M'boro pub set to be transformed

Shane Muller from Maryborough Motorcycles will be opening up a showroom and café at the Shamrock Hotel.

The Shamrock Hotel is set to be transformed in the next two months.

Coast developer looks to prime real estate's future

MANY OPTIONS: Sunshine Coast developer Graeme Juniper is considering what to do with a prime piece of real estate he owns on Radical Bay on Magnetic Island, near Townsville.

Radical Bay is World Environment Heritage-listed.

This small box of a unit just sold for $1 million

Elizabeth Bay unit has charming views to Sydney Heads.

If this doesn't scream 'housing bubble', nothing does.

DREAM HOMES: 10 properties with a million-dollar price tag

5 Lawson Street, Laguna Quays

10 properties in the Mackay region with a million-dollar price tag.

Ready to SELL your property?

Post Your Ad Here!