Federal Government Names 29 Childcare Centres Failing National Standards

In a landmark move toward greater transparency and accountability, the federal government has publicly named 29 childcare centres that failed to meet the National Quality Standards (NQS), placing them at risk of losing critical funding.

This marks the first time such compliance warnings have been made public, following recent legislative changes that empower the government to suspend or revoke Child Care Subsidy (CCS) approval for non-compliant services. The CCS is essential for a centre’s financial viability, making this a significant enforcement mechanism.

Geographic Distribution and Compliance Failures

Of the 29 centres named:

• Western Australia accounted for the highest number, with 11 centres flagged.
• Queensland had five centres listed, including Cairns Regional Family Day Care and Babyco Family Day Care.
• New South Wales saw warnings issued to Newton Family Day Care and Little Oz Kids Family Day Care Pty Ltd – Oakhurst.

Some centres had not met NQS benchmarks for over seven years. Others had not been audited in five years, raising concerns about regulatory oversight. Notably, five centres are now under new ownership, prompting debate over the fairness of public naming prior to re-audit.

Education Minister Jason Clare stated that centres have six months to improve or face further consequences, including funding cuts and CCS suspension. Early Childhood Education Minister Jess Walsh emphasized that NQS compliance is “not optional,” reinforcing the government’s commitment to child safety and quality care.

The NQS evaluates services across multiple domains, including educational programming, health and safety, staffing, governance, and relationships with families. The recent disclosures apply to a mix of childcare centres, family day care services, and outside school hours care providers.

The Department of Education confirmed that additional centres will be added to the list in coming weeks. At this stage, no large for-profit providers have been publicly named.

Reference:
Names Released Of 29 Failing Childcare Centres At Risk Of Losing Funding, With More Expected To Follow