10. SUE MORONEY (Labour) Link to this
to the Minister of Education
Does she stand by her statement about possible responses by early childhood education providers to the funding shortfall they are facing that “I would be really disappointed if the first thing they did was increase their charges”?
Hon ANNE TOLLEYHas she seen, then, the results of a New Zealand Educational Institute survey showing that 92.3 percent of Christchurch early childhood education services will be forced to pass on cost increases to parents as a result of her funding cuts, and will she ask the Minister for Canterbury Earthquake Recovery to delay the impact of funding cuts on Christchurch providers so that families do not face further cost increases?
Yes, I have seen that survey and, yes, I am disappointed that that is the reaction from those centres, because they had 8 months in which to make changes to the way in which they deliver their services. They have a number of ways they can address those changes to their funding. The early childhood services in Christchurch have had tremendous support from the Ministry of Education to help them through the earthquake and the recovery period. In fact, I was visiting one yesterday, which was very grateful for all the work that the Ministry of Education has done on its behalf.
Louise UpstonHow is the Government supporting early childhood centres to manage the change to early childhood education funding bands?
Budget 2010 provided an additional $46 million over the next 4 years for a 2.4 percent increase to early childhood education funding rates. Centres have also been given 8 months to adjust their business model to fit within those new funding rates.
When Prime Minister John Key said on 31 May “I am not at all convinced that you will see large cost increases passed on to families.”, had the Minister advised him that she had already received advice from officials in February that the Government’s decision to cut subsidies would mean that fees would rise by $40 to $80 per week?
There was a lot in that question. First of all, the Prime Minister does read his Cabinet papers, and I believe that the member was quoting from a Cabinet paper that was released under the Official Information Act so, yes, he was aware of the advice. We were all aware of the advice, but at the end of the day, as I have said in this House many times, these are individual businesses. They can make the decisions according to their own business. They have been given 8 months’ notice, and they have a range of options available to them in order to meet the changed funding rates. However, this Government was forced to take this sort of action because of the irresponsible actions of the previous Labour Government, which saw the costs of early childhood education treble in 5 years whilst participation rose by less than 1 percent.
Does she agree with TV3’s John Campbell that the Government broke its election promise to keep existing subsidies in place for 20 free hours of early childhood education, because the Government will cut the top two subsidy rates for 20 hours of early childhood education in February?