Cheaper child care and energy shake up under Labor plan

Childcare rates would be slashed by thousands a year for families and a renewable energy revolution are headlining Labor’s reply to Tuesday’s Federal Budget. Find out how Anthony Albanese’s plan would impact on you.

Childcare fees would be slashed by up to $2900 a year, while the electricity grid would get a $20 billion shake up to support more renewable energy and deliver cheaper prices, under an Albanese Government.

In his biggest pitch to run the nation, Opposition leader Anthony Albanese outlined a plan to “reset, renew and rebuild” the economy, arguing Tuesday’s Budget was a missed opportunity.

Seizing on criticism the Budget did not do enough for women, Mr Albanese announced a $6.2 billion plan to cut childcare fees for “97 per cent of families”.

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Opposition Leader Anthony Albanese promised cheaper child care in his budget reply on Thursday night. Picture: NCA NewsWire/Gary Ramage

He said it would ease cost of living pressures and help more women get back to work.

“For millions of working women, it’s simply not worth working more than three days a week,” Mr Albanese said.

The plan will increase the current top subsidy from 85 per cent to 90 per cent, and more gradually tapering down that subsidy depending on how much someone earns.

It means more than 330,000 families with a combined income of $72,400 would save $600 a year, 500,000 families earning up to $177,406 would save up to $2000 and those earning up to $356,000 would save about $2900.

“Building a childcare system that works for families will turbocharge productivity in workplaces delivering a much-needed boost in economic growth of up to $4 billion a year,” he said.

His second major policy, dubbed “rewire the nation”, a Labor Government would subsidise existing plans for the electricity grid to be modernised to more efficiently integrate renewable energy.

It would offer $20 billion cheap loans to transmission companies to build the poles and wires, on the proviso that they use Australian workers and steel.

“Rebuilding the grid will create thousands of jobs, particularly in regional Australia, and deliver up to $40 billion in benefits,” Mr Albanese said.

Opposition leader Anthony Albanese says there is nothing in the Federal Budget for women and people aged over 35. Picture: NCA NewsWire/Gary Ramage

He also reiterated a commitment to build more social housing, create an Australian Centre for Disease Control, as well as creating a National Rail Manufacturing Plan to encourage more trains are built in Australia, including Maryborough.

Mr Albanese attacked the Morrison Government’s Budget as “leaving behind” women and those aged over 35.

Prime Minister Scott Morrison said yesterday if the Opposition wanted to spend more, he needed to say “which roads, dams, hospitals or schools” he would cut.

“He is the biggest each-way operator that we’ve seen come in this place. He’s for everything and he’s against everything, at exactly the same time,” Mr Morrison said.

He said people trying to “set young people against older people, women against me” were “the voices of division that will undermine the future economic prosperity of all Australians”.

Assistant minister for financial services Senator Jane Hume said making child care subsidies too generous would lead to “perverse outcomes”.

“People overbook it and it makes the positions less accessible,” she said.

“By removing the cap, child care providers cost shift and start asking families to subsidise things like nappies and food. It’s a free-for-all.

“Getting the balance right and making sure those that are able to pay do so is very important.”