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Federal government’s ‘confusing’ childcare rebate risks exploitation by operators

Article image for Federal government’s ‘confusing’ childcare rebate risks exploitation by operators

The federal government’s plan to introduce a 95 per cent childcare rebate for families is copping criticism from the Opposition for its “confusing” policies. 

The rebate will apply to every additional child in care, meaning only families with multiple children can make a claim.

“I think it’s a bit confusing,” Shadow Minister for Education and Women Tanya Plibersek told Neil Breen. “I’m not really sure why it only applies to second and subsequent children.

“That’s helpful, [but] not many people have three kids or four kids in childcare at the same time.”

Ms Plibersek said there’s a chance even eligible families will miss out.

“There’s nothing in here that prevents this just being taken as profits by some childcare centre operators.

“It might not really help families in the way we want it to.”

Press PLAY below to hear Tanya Plibersek’s comments in full 

Aspire Retire Financial Service’s Olivia Maragna explained to Neil how the childcare rebate is intended to work.

“It costs you twice as much to have two children in childcare as one,” she said.

“So it’s not like school where the more kids you have, the less you effectively pay.”

Press PLAY below to hear Olivia Maragna’s comprehensive explanation of the rebate 

Image: Getty 

Neil Breen
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