This policy paper analyses the preferences and priorities of Australian parents in relation to childcare, based on the insights gathered from a targeted survey of working mothers who are using formal childcare. The paper also examines whether parents’ priorities align with government priorities for childcare and identifies some key implications for governments.

Given the identity crisis of capitalism, it is timely to highlight once again the proven record of capitalism in destroying poverty and creating shared prosperity—which alternative systems such as socialism have repeatedly failed to achieve.

In Australia, more parents are using formal childcare to support their participation in the workforce. Yet, childcare is becoming less affordable, with fees and out-of-pocket costs growing above inflation in recent years – despite the availability of taxpayer subsidies.