Childcare fees ‘cripple’ families

LIMESTONE Coast families are paying up to $12,900 per year in childcare fees, with average hourly rates increasing by 6.9pc over the last year to March 2019.

The Federal Education Department’s recently released data shows Limestone Coast families are paying an average of $8.97 per hour – the second highest hourly rate in regional South Australia.

Federal Labor Senator Marielle Smith said families were being “crippled” under the rise in child care fees.

“Fees in Australia have now increased by a staggering 30pc since the election of the Liberals,” she said.

“Over a year into the government’s new child care system and it has completely failed at putting downward pressure on fees and families on the Limestone Coast are paying the price.

“The government must act to ensure affordable, accessible and high quality early education and care for families in our community.”

An Education Department spokesperson said fee charging practices are commercial decisions made by child care providers.

The spokesperson said out-of-pocket costs for families are down by 7.9pc under the government’s Child Care Subsidy.

“Under the new system there are limits on the amount of subsidy the Government will pay per hour to help place downward pressure on fees,” the spokesperson said.

“The latest data shows that 88pc of centre-based day care services have an average hourly charge that is at or lower than the Government’s hourly rate cap.

“For nearly 570,000 or 74.3pc of the 767,000 children in centre based day care, their parents’ out of pocket costs are less than $5 per hour per child.”