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BUDGET 2016: Bad news for Working Parents

childcare alternatives
Lack of spaces in child care has spurred alternative options for parents going back to work. Source: Getty Images

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Updated

By Mosiqi Acharya



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Parents hoping to get a planned new government childcare subsidy will have to wait a year longer.

The federal government has delayed until 2018 the start date of its $3 billion childcare package unveiled in last year's budget.

That's because the savings it will need to pay for it - cuts to the parental payments of those on  family tax benefit part B - remain stalled in parliament.

The subsidy, which will require parents to undertake at least eight hours of work a fortnight to qualify, was originally due to start on July 1, 2017.

While Tuesday's budget papers confirmed the delay, there is good news for parents facing difficulty getting their kids into mainstream childcare centres.

The government has extended the timeline for its nanny pilot program, and raised the hourly fee cap from $7 to $10.


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