Care fee hike fears

EDUCATION Minister Simon Birmingham has warned childcare providers against hiking fees as a major overhaul of the sector comes into effect, saying the Government would keep an eye on those “rorting the system”.

Childcare subsidies changed yesterday to a meanstested and activity-tested payment, meaning both parents must be working, studying, volunteering or searching for work at least eight hours a fortnight to be eligible.

But the reforms have sparked fears operators will hike fees, eating away at any savings for families. “Ultimately, we will hold childcare providers to account,” he said.