The big winners from the Federal Government’s childcare reforms

[Ulquiorra]

WORKING families in Perth’s northernmost suburbs will be the biggest winners from sweeping Federal Government reforms to child care that begin today.

New data crunched ahead of the new system kicking in shows 7056 families in Pearce — the marginal electorate held by Attorney-General Christian Porter — will be better off under the changes.

Federal Education Department analysis found parents will also fare well in the Labor-held seats of Burt and Brand, where 6222 and 6002 families respectively are set to benefit from the shake-up.

Only 2640 families will save money in Foreign Minister Julie Bishop’s electorate of Curtin as a result of the changes, which are geared towards helping families working the longest hours and earning the least.

Declaring that parents’ battles with “complicated and broken” childcare systems a thing of the past, Education Minister Simon Birmingham said childcare relief had finally arrived for 70,320 WA families.

“From today, the vast majority of families will be able to breathe a little easier knowing they will now have access to more childcare support,” Senator Birmingham said.

Up to 19,000 WA families are yet to update their income and hours of work details through MyGov to transition to the new system, but 80.7 per cent had made the switch as of Saturday.

Parents who fail to meet the new activity test — which requires them to work, look for work, volunteer, study or do unpaid work in a family business to qualify for the new Child Care Subsidy — will be the biggest losers.

The Government argues the new policy will encourage workforce participation.

But the Opposition says that the activity test will hurt vulnerable families, with affected children to no longer benefit from early education.

Shadow early education minister Amanda Rishworth said it would cost families earning less than $65,710 a year on average $5300 a year to replace the day of care they were losing.

She said families at risk of falling foul of the new activity test were those with seasonal, irregular or casual work or at home caring for children as well as an elderly parent.

“Vulnerable children are the ones who are set to benefit most from access to early childhood education,” Ms Rishworth said.

“One in four families will be worse off under the Turnbull Government’s new unfair childcare system.”