Budget cuts to childcare and family payments ultimate betrayal of working families

31-March-2009

Reports that the Rudd Government is planning cuts to childcare and family payments in the upcoming budget are shameful and would represent the ultimate betrayal of working families, Shadow Minister for Early Childhood Education and Childcare Sophie Mirabella said today.

“The Rudd Government was elected on the promise that they would assist working families – now it appears the childcare rebate, the baby bonus, family tax payments are all up for grabs in the budget slashing process,” Mrs Mirabella said.

“When Treasurer Wayne Swan talked about people having to make sacrifices, it’s clear he meant families raising children and in particular working women. The Rudd Government has had a $42 billion spending spree and the families of Australia are the ones who will be forced to pay.”

Mrs Mirabella said the Rudd Government had campaigned hard on making childcare more affordable and the budget betrayal would come on top of recent revelations suggesting childcare costs would rise dramatically under Labor’s proposed reforms.

“The Chair of their own Expert Advisory Panel, Professor Alison Elliott, has admitted that “quality childcare is expensive and someone must pay”,” Mrs Mirabella said.

“The proposed staff to child ratios that the Government’s Expert Panel has recommended will potentially add hundreds of dollars to the cost of caring for a child. And if family payments are slashed in the Budget, how will families afford even higher childcare costs. Who is going to pay?”

Mrs Mirabella called on Prime Minister Rudd to re-affirm his election promises to protect working families and rule out cuts to family payments and childcare benefits in the upcoming Budget.

“The Rudd Government has created an economic problem with their huge irresponsible spending spree. Now they want to slug families to try and get the Budget back into surplus. They are giving with one hand and taking back twice as much with the other. It’s shameful.”

“Parliamentary Secretary Maxine McKew should explain to concerned parents exactly how Labor intends to deliver on their childcare promises – especially when it comes to making childcare more affordable for working families. “

“It has now been revealed that Labor’s childcare policies are likely put more financial pressure on parents. And if this comes on top of Budget cuts to a raft of family payments, then many Australian families will struggle to make ends meet for a long time after the $950 stimulus payments are spent,” Mrs Mirabella concluded.