New childcare subsidy system adds red tape

Parents might find themselves stressed and tangled in more childcare red tape when changes to subsidies come in next month, childcare groups believe.

A new single-test subsidy comes in from July 2, increasing payments for most people receiving childcare assistances by as much as $1333 a year for the average child.

But submissions from childcare organ­isations to a parliamentary red tape committee suggest the new subsidy will create new problems for both providers and families.

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