Tens of thousands of childcare spots will be made available in New South Wales as part of a $5bn boost to the sector, as female participation in the workforce shapes up to be one of the state government’s key budget focuses.
The premier, Dominic Perrottet, described the policy as a “once-in-a-generation reform”.
“We know this is an area that has been in the too-hard basket for too long,” he said. “We are going through a time where it’s becoming even more challenging for young families to balance work and family life.
“A lot of that is attributed to the fact that many young families can’t get access to childcare places and the cost of childcare is too high.”
Private operators will be paid to expand their offerings to make services more accessible and affordable. Perrottet said the changes would drive economic activity worth about $17bn a year and challenged other states to make similar moves.
Announcing the plan at a pre-budget briefing by the Committee for Sydney thinktank on Tuesday, the treasurer, Matt Kean, said it was good economic policy to remove barriers to getting parents back into full employment.
“This reform will transform childcare in NSW,” he said. “Good women’s policy is also good economic policy for everyone.”
An initial $775m will be spent on the policy over the next four years, with up to $5bn over the decade. Baked into the policy is a $218m workforce plan to ensure centres that expand will be able to find staff, with money set aside for scholarships and tertiary education.
The policy was one of a suite developed in collaboration with an economic advisory panel of women, led by president of Chief Executive Women, Sam Mostyn.
Advocates for childcare reform have long been arguing for changes, saying the structure of services meant they were often so expensive they were barely worthwhile.
Kean referenced the work of Brittany Higgins and Grace Tame, saying their stories had prompted “an outpouring of frustration and demands for change for women across our nation”.
A senior moderate in the NSW Liberal party, Kean said he had been devastated when women turned away from his federal colleagues at the May election, and vowed to work to support women in NSW.
“I was devastated by that because my party should be the standard-bearer for individual liberty that makes our country great,” he said.
