NSW Childcare and Economic Opportunity Fund
Access to early childhood education and care (ECEC) is considered one of the biggest barriers to workforce participation, while quality ECEC can give children a better start in life and learning.
The NSW Childcare and Economic Opportunity Fund (the Fund) was established to help address these barriers.
Our purpose
We know the significant positive impact quality ECEC has on a child’s life, yet access to these services is a challenge facing many families across the state. Access to ECEC is also considered to be one of the biggest barriers to economic participation, limiting opportunities for parents and carers to participate in the workforce or education.
Enshrined into legislation, the objective of the Fund is to make quality ECEC more affordable and accessible for children and families across NSW, increasing participation in the State’s workforce, particularly for women.
The Fund plays an integral role in delivering ECEC commitments in the 2025-26 NSW Budget, ensuring every child has access to high quality, safe and inclusive ECEC.
Find out more about the Childcare and Economic Opportunity Fund Act 2022.
This NSW Government investment in ECEC is a long-term strategy to generate long-term benefits, including:
an increase in workforce participation to build a more resilient NSW economy
to enable families to reach education, work and career goals
giving children a better start in education to meet their aspirations for the future.
For families experiencing domestic violence and/or precarious housing, access to safe, quality ECEC is critical to financial independence. Experience and threats of violence limit parents and carers’ ability to participate in employment and education to build their future economic security.
Increasing access to quality ECEC is also a critical support for government commitments such as the NSW Domestic and Family Violence Plan 2022-2027, Housing 2041 – NSW Housing Strategy, and the National Agreement on Closing the Gap.
Our programs
In April 2023, the NSW Childcare and Economic Opportunity Fund Board convened, as the statutory agency established to develop and deliver programs under the Fund legislation.
With a strong focus on innovation, trial programs have been developed in the first year to address some of the most pressing needs for the ECEC sector, families and children.
Expanding Quality Access program
The Expanding Quality Access program is for existing not-for-profit community preschools in NSW who wish to transition to a long day care service offering ECEC for at least 48 weeks each year, and either offering extended hours or welcoming younger children.
The Fund is investing $100 million in this program.
Find out more about the Expanding Quality Access Program.
Flexible Initiatives Trial
The Flexible Initiatives Trial is designed to address concerns about choice and availability of quality early childhood education experiences.
The program provides support to ECEC service providers to offer NSW families access to early childhood education when and where they need it most, including new places in areas of low supply, after-hours care, flexible pick-up and drop-off times, and flexibility in enrolments.
The Fund is investing $20 million in this program.
Fee relief for 3 year olds in preschool programs in long day care services (3YO Fee Relief Trial Payment)
The Fund is providing fee relief for 3-year-old children attending eligible preschool programs in long day care centres. The Fund Board has elected to have the fee relief delivered through the department’s Start Strong for Long Day Care program.
Find out more about Start Strong for Long Day Care.
Business Capability Development Program
This program aims to support the viability and sustainability of small and stand-alone ECEC providers. With an investment of $5.3 million, Round 2 of the program is being trialled in 8 locations across NSW to support access to quality, affordable services for NSW.
Find out more about the Business Capability Development Program.
Building Early Learning Places Program
This new round of grants is designed to support not-for-profit community preschools and long day care centres in 31 targeted areas as well as places delivered by Aboriginal Community-Controlled Organisation service providers. The program aims to provide support for ECEC services in communities with the greatest immediate need, to increase the number of ECEC places.
A total pool of $20 million will be made available.
Find out more about the Building Early Learning Places program.
3-Year-Old Quality Preschool Program (3YO Program Trial Payment)
This program supports the delivery of quality ECEC at long day care services. Long day care services can use this funding to improve accessibility for children and families, including for staff salary of additional early childhood teachers and educators, reducing non-fee related barriers for families, purchasing functional or education resources, and developing quality educational programs based on the Early Years Learning Framework.
The Fund Board has elected to have the 3YO Program Trial Payment delivered through the department’s Start Strong for Long Day Care program.
Find out more about Start Strong for Long Day Care.
ECEC Research Program
The Fund is providing $3 million for innovative academic research into delivery models, workforce pipelines, and the accessibility of ECEC.
The ECEC Research Program will provide expert evidence-based insights to support government policy, helping to deliver lasting benefits for children, families, and the ECEC workforce.
ACCO Sector Growth
The Fund Board is developing programs to support Aboriginal Community Controlled Organisation (ACCO) Sector Growth to support and grow ACCO-led ECEC services to provide more Aboriginal and Torres Strait Islander children and their families access to culturally safe and responsive services. The programs are being designed in collaboration with Aboriginal key stakeholders, communities and partners to ensure the program meets local needs and supports long terms outcomes for children and families.
Aboriginal ECEC Workforce Pipeline
The Fund Board is developing programs to create employment pathways, opportunities for progression, and incentives for retention of Aboriginal and Torres Strait Islander people within the early learning sector. Through an increase of Aboriginal and Torres Strait Islander educators within the sector, initiatives through the Aboriginal Workforce Pipeline will increase access to early learning services that are supported to recognise and celebrate connections to culture, enhancing cultural safety and responsiveness for all families.
More information
Discover more information on the Fund Board and who we are.
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