Childcare plays a vital role in Australian society. Over one million Australian households used childcare last year, with most households with children accessing childcare at some point in their lives.

Children can benefit from childcare by being educated and cared for in a safe environment, which supports their early development. For parents and guardians, being able to access affordable childcare enables them to work, volunteer, train or study.

This report is the ACCC’s first interim report, as part of their inquiry into childcare services. It focuses on prices, supply and demand for childcare, and an initial examination of the impact of the Child Care Subsidy.

The Federal Treasurer directed the ACCC to inquire into 4 different childcare services, each of which are eligible for the Child Care Subsidy – centre based day care, family day care, outside school hours care and in home care. Pre-schools and informal care by friends and relatives are not within the scope of this inquiry.