Prime Minister Anthony Albanese has unveiled a significant election promise, pledging three days a week of subsidised childcare for families if the federal government is re-elected next year. This initiative aims to eliminate the existing activity test that ties childcare support to parental work hours. The proposal is expected to cost $427 million over five years and is part of a broader strategy to enhance early education in Australia.
Albanese described the changes as foundational steps towards a universal early education system, targeting reduced fees for families, increased wages for workers, and expanded availability of childcare centres. A new $1 billion fund will also be established to build and expand over 160 early education facilities, marking the largest investment in childcare services by any Australian government.
Critics, including Coalition members, argue that the proposal may disproportionately benefit wealthier families and claim it could serve as a subsidy for those not in the workforce. However, Albanese and Education Minister Jason Clare assert that the current system has disadvantaged low-income families without access to affordable childcare, thereby perpetuating educational inequalities. The policy is set to take effect on January 1, 2026, pending Labor’s success in the upcoming election.