Child Care Benefit increases today for families

July 7, 2014
Blog

The standard hourly rate of Child Care Benefit families receive will index by the CPI today, as flagged in the Abbott Government’s 2014-15 Budget.

Sussan Ley, the assistant minister for education, said this could see up to $264 extra[1] in Child Care Benefit alone for a low-income family with one child in full-time care this year.

“The Abbott Government is committed to making child care more affordable, flexible and accessible,” Ms Ley said.

“This increase in Child Care Benefit is timely relief for families struggling with the cost of child care after fees skyrocketed 53 per cent during Labor’s six years in government.

“It will help take some of the pressure off working families as we continue to tackle the larger issue of making child care more affordable, flexible and accessible through our Productivity Commission Inquiry.

“This increase in Child Care Benefit is good news for families and bad news for Labor’s ‘misinformation’ campaign.”

Ms Ley said the Abbott Government was increasing overall spending on child care fee assistance to $28.5 billion over the next four years for around a million families.

“We’re also working closely with the states and territories to cut unnecessary and excessive child care red tape to reduce the burden on fees for parents and services alike.”

The Productivity Commission Inquiry’s draft report is due this month, with the final report due in October.

[1] ] The standard hourly rate of the means-tested Child Care Benefit will rise by the CPI from $3.99 per hour to $4.10 per hour from Monday, July 7 2014. Families earning under $42,997 receive the full rate of Child Care Benefit, while families earning above that amount receive a partial rate that lessens as their income increases. A low-income family eligible for the full rate of Child Care Benefit with one child in care 50 hours per week, 48 weeks per year could receive up to $264 extra CCB in 2014-15, depending on their circumstances.

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