‘Landmark investment’: $5bn win for NSW parents

In big news for parents, a state government has promised a new fund will have $5bn at its disposal to boost early childhood education.

The NSW government has committed to a $5bn fund to boost childcare, vowing to increase childcare supply by 47,000 places.

Treasurer Matt Kean said the “landmark investment” would help close the gender participation gap in the workforce by allowing women to continue working while their young children are being educated.

“It’s about supporting kids to get the best start in life,” Mr Kean said.

“It’s about supporting parents and their ability to participate in the economy.”

NSW Treasurer Matt Kean called the fund a ‘landmark investment’. Picture: NCA NewsWire / Damian Shaw

The new fund will be called the Childcare and Economic Opportunity Fund and the $5bn has been committed over 10 years.

Education Minister Sarah Mitchell acknowledged the early childhood education workforce would need to increase to meet the commitment.

But she said the government had already committed nearly $280m towards that end.

“There is significant money already, in this year’s budget, to help us grow the workforce that we know we’re going to need as we deliver these places,” she said.

The funding commitment is part of a $15.9bn budget promise which also included a 10-year plan to provide a year of pre-kindergarten education for every child in NSW by 2030.

Mr Kean said the fund was also aimed at tackling what he called “childcare deserts” in the state’s regions and in Sydney’s west and southwest.

“This is a game changer in NSW – it’s unlocking childcare places, particularly in those childcare deserts where there’s only one spot for every three children,” he said.

Mr Kean said the fund could increase the participation of women in the workforce by 14 per cent, boost household incomes by $4400 and save families up to $3400 a year.