- By Naisi Chen, Labour List MP based in Botany
For many working families here in east Auckland, childcare is one of the biggest household costs.
That’s why, as part of our Government’s work to support New Zealanders with the cost of living, we’re making childcare more affordable for low and middle income families.
The Prime Minister recently announced that we’re significantly expanding childcare assistance, cutting costs for working parents and supporting more children into early education.
On top of this, we’re further boosting Working for Families and the Best Start payment, providing more support to help ease the pressure.
These changes will kick in from April 1 next year. The exact amount families will save on childcare costs will depend on the number of hours they work, the wages they are on, the number of hours of childcare per day and the cost of their early childcare education centre.
For example, an east Auckland family with two parents both working 40 hours per week on $26 per hour with two children under five who will not have been eligible for childcare assistance, now will be eligible for $252 per week.
Childcare assistance has been neglected for more than a decade, since income thresholds were frozen by National in 2010.
I’m really proud that the changes we’re making will see thousands of parents given back the choice to do what’s best for their family – I know what a difference this will make.
By reducing financial barriers and better supporting parents who want to enter work or further training, we’re also helping fill labour shortages, which is good news for east Auckland families, local businesses and our economy.
These next steps build on the work that our Government has already done to ease cost of living pressures on New Zealanders in the face of global inflation, including our cost of living package, which includes half price public transport, fuel tax cut and more.
We’re also taking action on supermarkets to make sure Kiwis are paying a fair price at the checkout because we’re fed up with supermarkets earning $1 million a day in excess profits while people are paying a premium for the basics.
At a time when families are feeling the cost-of-living spike, our Government is investing in what matters most. I’m really proud that we’re now taking the next step to make sure childcare is within reach for parents and that families here in east Auckland have more support to cover other costs.