MP’s stinging rebuke of his own party’s landmark package

Senator Matt Canavan has come out swinging against his party’s proposed $1.7 billion childcare package saying parents shouldn’t be pushed to “have a stranger look after their newborn baby”.

Mums and dads should have more choice to stay at home and care for their child rather than be pushed to “have a stranger look after their newborn baby”, a maverick LNP Senator said in a stinging rebuke to his party’s $1.7 billion child care package.

It is part of a growing pushback from some government MPs who say the increasing subsidies for child care are putting families who choose to have one parent stay at home at a disadvantage.

They are instead calling for “Howard Government-style” increased cash payments for single-income families raising kids, with suggestions an increase of $1000 a year to Family Tax Benefit B payments “as a start”.

Queensland LNP Senator Matt Canavan. Picture: Che Chorley

Senator Matt Canavan said the government should not be subsidising one parenting choice over another.

“Full-time mums and dads are some of the hardest workers in the country but our tax system penalises them for looking after their own children,” he said.

“We shouldn’t just provide assistance for someone to have a stranger look after their newborn baby, we should help parents look after their own newborn baby.”

Toowoomba MP Garth Hamilton said while the childcare policy was a good one, it needed to do more for parents who choose to raise their children at home.

“It’s a good policy, I just want to see it extended to care for those who, like my wife and I, decided to raise our kids at home rather than use child care,” he said.

“I think that would start with a review of the Family Tax Benefit system.

“The Holy Grail would be a provision that allows for income splitting for tax purposes for low and middle-income families.”

Family Tax Benefit B is a means-tested support payment of up to $161.14 per fortnight for single parents and some couple families with one main income.

Petrie MP Luke Howard, who is also assistant minister for employment services, said the childcare policy was about assisting parents get back into work.

“I respect the right of parents who want to stay at home and I love the commitment to family, but we are in a labour shortage at the moment,” he said.

“We’re trying to get people into the work force.”

He said at a recent jobs fare he attended there were 3800 jobs on offer while only 2800 people were there.

Originally published as MP’s stinging rebuke of his own party’s landmark package