3 July 2025

Childcare centres risk losing funding if safety not 'up to scratch'

| By Chris Johnson
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kids doing gardening

The Federal Government is moving to close the gaps in child safety laws for childcare centres. Photo: Thomas Lucraft.

Childcare centres across Australia will be stripped of funding if they fail to meet safety obligations, under urgent new legislation the Federal Government is set to introduce when parliament returns this month.

The government is moving to close more gaps in child safety laws that have allowed further horrific instances of alleged child abuse to occur.

A 26-year-old man has been charged with more than 70 child abuse offences relating to eight alleged victims aged between five months and two years at the Creative Garden Early Learning Centre in Point Cook, Victoria.

A second man has subsequently been charged in relation to child abuse material and sex offences.

The outcry over the news has sparked governments in all jurisdictions into action, while child safety advocates are accusing authorities of failing to act soon and tough enough following recent reviews, including a royal commission, into the sector.

State and territory governments have responsibility to enforce child protection in childcare centres, but the Federal Government funds the providers.

That’s where Federal Education Minister Jason Clare says he has the power to act.

He plans to strip funding from providers who don’t meet their child safety obligations.

“This has taken too long for governments to act. This is sickening and it’s serious, it demands serious action,” he said.

“We’ve already taken action around mobile phones in childcare centres and mandatory reporting, but there’s more that we have to do. There’s a lot more that we have to do.

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“When parliament returns later this month I’ll introduce a piece of legislation in the first sitting fortnight that will cut off funding to childcare centres that aren’t up to scratch when it comes to the safety of our children.

“The big weapon that the Federal Government has to wield here is the funding that we provide to childcare centres.

“It equates to about 70 per cent of the funding that runs a centre, and if they’re not keeping our kids safe then we need to cut off their funding.

“There’s got to be consequences for this sort of bad behaviour when centres don’t look after our kids properly.”

The Minister agreed that implementation of recommendations from the decade-old royal commission into childcare has taken too long.

These included, among other things, implementing a national working with children scheme, an umbrella federal office and a national register for childcare workers.

“The system has failed these families. If the allegations are proved to be true then the system has failed these families … and the implementation of those reforms has taken too bloody long and they need to be accelerated,” Mr Clare said.

“That’s why I’ve said we need to implement a register for educators in childcare centres. It’s why we need to fix the working with children checks. That’s work that’s being led by Attorney‑Generals, but it needs to be sped up.”

But another royal commission is not on the cards.

“We’ve had a royal commission. We’ve got the recommendations …” Mr Clare said.

“We know what we need to do. It’s how we do it and how we pull all of that together and get the whole country acting as one.”

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The Federal Opposition is on board, with shadow attorney-general Julian Leeser saying the Coalition will help the government get new laws passed.

“Parents entrust the most precious thing in their entire lives, their children, to childcare workers and childcare centres,” he said.

“The Coalition stands ready to assist the government in whatever measures they need to take to ensure that we protect children and we protect families who are sending their children to childcare centres and to ensure the proper processes are in place.”

Community umbrella group The Parenthood has called for an independent national early childhood commission to coordinate the regulation of early childhood education and care services.

Campaign director Maddy Butler said every family should be able to trust that when they left their child in an early learning environment, their child would be protected, supported and treated with dignity.

“This is a highly distressing situation not only for the parents and families impacted by the alleged abuse, but for every parent across the country who is worried about their children’s safety,” Ms Butler said.

“This is why we continue to call for the urgent establishment of an independent national early childhood commission to ensure national oversight, consistent quality and accountability across early childhood education and care services.”

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