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News Article


Budget flaw: no subsidy for top quality childcare
Monday, May 11, 2015


“There is a huge omission from the federal budget childcare package – and that is any acknowledgement of or subsidy for the best childcare of all,” FamilyVoice research officer Ros Phillips said today.

Longitudinal, randomised studies continue to confirm what most people instinctively understand – in general, children under two or three do best when cared for by a parent (usually mum). 

“Babies and young toddlers who spend a lot of their waking hours in a childcare centre are more likely to be more aggressive and uncooperative in later years.  Pushing mums of young children back into the paid workforce by paying them to put their kids in childcare is counter-productive.  The work these mums do at home may not be paid, but it is invaluable.  It is helping to build a nation of cooperative, balanced citizens.

“So why are we punishing families who do their own childcare work when their children are under three?  Why does the childcare package rely on cuts to Family Tax Benefit B?  This benefit does not even make up for the tax inequity suffered by one-income families.  They receive just one tax-free threshold of $18,200 – compared with two-income families, who receive $36,400 completely tax-free.”

Ros Phillips said the federal government’s approach to family taxation was “short-sighted”.  

“We commend Senator Matt Canavan for highlighting the plight of single-income families. We urge the government to rethink its families package.”

Categories:

  • Family and parenthood

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