Start Strong and Preschool Funding from 2023 explained

ACA NSW has been in discussions with the NSW Department of Education seeking (written) clarifications about the current and future Start Strong funding distributions.

These discussions have also been in the context of the two "new" funding arrangements courtesy of:

• the Commonwealth's Preschool Reform Funding Agreement (for 4 years); and
• the NSW Government's Affordable Preschools funding (for 4 years).

A simplified table (PDF format) has been produced for your easier reference.

It is worth noting that the (existing) Start Strong funding that was recently distributed beginning 1 July 2022 (which was between $323-$913 per child depending on equity status and the hours enrolled).

Nevertheless, the Commonwealth's new funding ensured a per-child allocation of $1,345.54 for FY2022/2023 (see Appendix A of the Agreement). This per-child allocation is $1,377.83, $1,410.90 and $1,444.76 for the subsequent years of the Agreement. 

Subject to consultation with NSW's early childhood education and care sector by the NSW Department of Education about timing and varying the amounts per child due to equity (eg disadvantaged and vulnerable children), it is ACA NSW's understanding that this Commonwealth funding will now be distributed at the beginning of each calendar year starting 2023.

In addition, the NSW Government will add an additional up to $2,000 per eligible child funding per year for NSW's long daycare services beginning 1 January 2023 until 2026 via their recently announced Affordable Preschools for All Families.

The above potentially attempts to finally fix an anomaly that has disadvantaged NSW's long daycare services arguably since 2014 about fairness in funding:

• between NSW's long daycare services and community/mobile preschools; and
• when compared to other interstate long daycare services (especially in South Australia, Queensland and Victoria).

The above will be explained again at upcoming ACA NSW Network Meetings for the remainder of 2022.

In the meantime, for further information/clarification, members are asked to contact the ACA NSW team via 1300 556 330 or nsw@childcarealliance.org.au.

PLEASE NOTE: ACA NSW will continue to engage the NSW Department of Education with respect to the above with the view of ensuring NSW's long daycare services not be unfairly disadvantaged ever again.

PUBLISHED: 10 AUGUST 2022