NSW Government continues to blindside long day care providers

NSW Government continues to blindside long day care providers

 14 November 2026  

The Early Learning and Care Council of Australia (ELACCA) is dismayed that the NSW Government continues to make sudden changes to the state’s early learning system without consultation with the early learning sector. 

The latest example is today’s announcement of 100 new long day care services, to be built and operated by the NSW Government. 

This follows the sudden cancellation of funding for preschool programs in long day care services, where nearly two-thirds of the state’s 4-year-olds receive their education in the critically important year before school.  

Taken together, these two decisions paint a deeply worrying picture of a government that is: (a) willing to defund the state’s long day care services in favour of its own portfolio of services; and (b) unwilling to play any kind of stewardship role for the NSW early learning sector. 

‘The government clearly wants to reshape the early learning sector in NSW,’ said ELACCA CEO Dr Amanda Walsh, ‘but it won’t achieve anything good by starving the sector of funding, refusing to speak to providers, and focusing all its energies on its own ambitions for long day care development and ownership.’ 

‘That is not a plan for success.’ 

‘In particular, the absence of any communication with existing providers makes us fearful that the NSW Government will get this reform wrong.’ 

‘We wrote to the Deputy Premier on 3 August, explaining that “our shared challenge is to ensure that changes in the early learning landscape do not have a detrimental impact on children and families” and warning about the impact of sudden changes.’ 

‘We asked the Deputy Premier to convene a roundtable discussion with the early learning sector, before the end of the year, to chart the course ahead.’  

‘We are still waiting for a response.’ 

ELACCA has ten members operating in NSW, delivering more than 500 long day care services and meeting the needs of thousands of children and their families. These long day care services were already facing a tough operating environment in 2026, with costs soaring and enrolments falling in many locations. Oversupply of places has become a significant challenge in parts of NSW, enabled by governments at all levels over the last 10 years. 

About ELACCA

ELACCA wants all children in Australia to have access to inclusive, high-quality early learning and care, delivered by a skilled, valued workforce.

We draw on the knowledge and experience of our members, contributing to the development of evidence-based public policy for the early years sector.

We seek to co-create with governments a strong, sustainable early learning and care system that can support all children and families across Australia.

Our members represent both not-for-profit and for-profit providers of early learning and care services. They operate a total of 2,383 services, including 2,002 long day care services, 304 preschool/kindergarten services and 77 OSHC services, covering every state and territory. ELACCA members serve 356,339 children and their families, and employ more than 57,382 staff.

Contact

Dr Victoria Flanagan, Senior Policy Manager

M: 0498 228 762