Almost two thirds (62 per cent) of Australian parents with kids under six say they are struggling financially, according to a new national poll.
Childcare costs are particularly concerning for those already struggling with the nation’s cost-of-living crisis. Poll results show only three in 10 parents who use centre-based early learning say the costs are easily manageable.
Conducted for The Parenthood by Essential Research, this data has been provided to both the Productivity Commission and Australian Competition and Consumer Commission (ACCC) as part of their national review of the early childhood education sector.
The vast majority of parents (85 per cent) believe that the cost of living means families don’t have a choice except to have both parents work– a conundrum with such high childcare costs. And the number rises to 90 per cent for those who report feeling financial pressure.
Six in 10 parents say that themselves or their partner would work different hours if childcare wasn’t so expensive.
Parenthood interim CEO Jessica Rudd has called the situation a “crisis of choice for parents”.
“This poll shows that families need two incomes to make ends meet, but often one parent can’t go back to work unless childcare is accessible and affordable,” said Rudd
“Australian working families are treading water. Household budgets are under financial stress, from soaring housing costs to rising utilities bills and grocery prices.”
“This research tells us that both parents want and need to work, so we must start viewing early childhood education and care not as a nice-to-have, but as an essential service.”
The percentage of parents accessing centre-based care also varies greatly depending on the place of residence. Parents in Queensland, Western Australia and those living in provincial or rural areas are less likely to use centre-based daycare than those in outer and inner metro areas.
Parental age is also a factor as those who are older tend to be in the later stages of their career, earning more money. Parents aged 40+ are more likely than those aged 18-29 to have their child in centre-based care.
“The increase to the Child Care Subsidy implemented mid-year has helped ease some of the financial burden, but as the recent ACCC report found, in the absence of holistic system reform and proper educator workforce measures, fees will keep rising,” said Rudd.
“This catch-22 for families is crippling the economy. Australia needs a universal, affordable, quality ECEC system to help address living costs.”