Election 2016: Labor to unveil $2,500 increase to childcare rebate cap from next year

Labor will today unveil a policy promising a $2,500 increase in the childcare rebate cap from January next year.

The increase would see the cap go to $10,000 per child.

Labor said its plan would see low and middle-income families who receive the childcare benefit up to $31 per child, per week better off, thanks to a 15 per cent increase in the payment.

It said a family with two children in childcare would be up to $3,254 better off from changes to the benefit.

The ALP said its policies would give families relief sooner than the Coalition, whose budget papers pushed back its $3 billion childcare package until July 2018.

The Government’s policy is, in part, being held up by the Senate’s refusal to back its changes to the Family Tax Benefit.

Labor said it will fund its plan by redirecting government funding already in the budget.

Opposition Leader Bill Shorten will begin the day in Melbourne.


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This post originally appeared on ABC News.

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