Parents to pick up childcare costs

Published: 9:24AM Friday May 27, 2011 Source: ONE News

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Early childhood experts warn that parents will be picking up the cost of childcare in spite of an apparent funding boost under the Budget.

The Budget gave early childhood a $550 million funding injection over four years but the education union says this will barely cover inflation and cuts made last year.

The New Zealand Educational Institute (NZEI) claims that funding cuts made in 2010 to the tune of $295 million have not been recouped and have resulted in an 11% increase in fees for parents.

Speaking to TV ONE's Breakfast, NZEI Early Childhood spokesperson Hayley Whitaker said that the boost touted by the Government is an illusion.

"The $550 million that the Government is claiming is new money is only going to cover predicted roll growth."

Whitaker said that the rising birth rate along with increases in the number of hours children are spending in care over the next four years outstrip any gains.

The Government has suggested that childcare facilities do not need to be staffed entirely by fully qualified teachers, and that parents wanting that standard should be prepared to pay more for it.

However Whitaker said that such an approach would hit lower income areas hardest. She said Kindergartens, which have long opted for full qualifications, are often located in low income areas.

Whitaker said that cuts in these areas would be short-sighted saying that spending on early childhood reaps rewards later on

"We know that high quality early childhood education makes a difference and we know that for every dollar spent there is an up to $17 return in the future."

She said the Government's own research has backed spending on early childhood and the decision not to improve funding doesn't make sense.

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