Fees Up, As Easy As Abc

The Age

Tuesday June 24, 2008

Kelly Burke, With AAP

PARENTS will pay about 11% more for daily child care at ABC Learning Centres after the company said it had to put up fees to cover higher operating costs.

ABC Learning said the $6 rise to about $62 a day meant its rates would still be below the Federal Government's long day care estimate of $64.40 a day.

The new fees apply from June 30.

The Federal Government warned child-care providers last week that it would not tolerate sudden fee rises before the increase in the child-care tax rebate from 30% to 50% from July 1.

Deputy Prime Minister Julia Gillard said the Government had asked all child-care centres to provide tables showing what their fees were at the beginning of the year and any proposed increases.

The data will be published on a website, allowing parents to compare costs.

"We've made it clear to child-care providers that whilst we understand that there are real reasons from time to time for increases in costs ... we do not want to see any unfair pricing practices emerge," Ms Gillard said.

"We're certainly going to be keeping our eye on it."

ABC Learning said it was making the change following a 15% rise in its wages bills in the past two years.

As the Government's benefit increase will not apply until July7, ABC Learning said it would "subsidise" fees in the first week. -- With AAP

© 2008 The Age

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