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Study: Some Canadian cities will not reduce childcare fees

Study: Some Canadian cities will not reduce childcare fees

By عبد السلام

Published: May 10, 2022

The federal government's National Childcare Program aims to make childcare affordable for parents, but a new study indicates that the amount of fee reduction will depend on where they live.

The study conducted by the Canadian Centre for Policy Alternatives suggests that provinces and territories are taking different approaches to try to meet the government's primary goals of reducing fees, and some may miss the mark.

David Macdonald, co-author of the study and chief economist at the centre, said, "It seems to me that the challenge is not in setting up a plan and running it, but implementing it correctly."

The Liberals' 2021 budget promised to spend $30 billion on a national childcare system over five years, and $9.2 billion annually thereafter.

The government’s national plan aims to cut average fees in half for organized early education and childcare spaces by the end of the year, and to provide $10-a-day childcare for every province and territory by 2026.

The four ways provinces and territories plan to achieve a 50 percent fee reduction include lowering set fees, giving a standardized price discount to parents, having each provider individually cut fees in half, and changing parent fee subsidies.

There are different types of childcare for various age groups, including infant care, toddler care, and preschool childcare, the latter being the most common.

For preschool childcare, seven of 26 cities listed in the study analysis will meet federal targets.

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