More than 10,000 extra children could enrol in NSW community preschools, and teachers and educators will be guaranteed pay above award rates, under new funding guidelines announced on Sunday, 18 October.
The new Universal Preschool Funding Program replaces the Start Strong program. It will fund more than 700 community preschools and introduce a more sustainable funding model to help services fill thousands of vacant places across NSW.
Under the model, community preschools will be asked to maximise places in their centres, creating capacity for more than 10,000 additional children.
For the first time, places for 3-year-olds will be fully funded.
Funding for children with inclusion support needs in community and mobile preschools will increase, with up to $91 million provided through a needs-based streamlined program.
Families with preschool-aged children in long day care will be eligible for up to $2,625 per child in 2027 through the $255 million Fee Relief for Long Day Care program. The guidelines will require long day care centres to provide preschool programs.
“The Minns Labor Government has made affordable, high-quality early learning a priority,” said Deputy Premier of New South Wales and Minister for Education and Early Learning Prue Car.
“We’re on track to deliver 100 fee-free public preschools by early 2027, providing an additional 9,000 children with access to preschool.”
Other benefits of the new guidelines include:
Out-of-pocket fees capped at $20 per day for community preschools that charge them, with existing charges above $20 frozen at their current level.
Funding for an additional day of preschool for eligible children in priority cohorts, lifting access from two to three days a week.
Total funding for community preschool services through the Universal Preschool Funding Program and the Inclusion Funding Program will be $584 million to $642 million. That is up on the 2026 total of $540 million to $625 million.
The reforms are part of a broader $1.8 billion investment in early learning, announced in the 2026-27 NSW Budget.
“Through these guidelines, we expect to see up to an additional 10,000 children offered places in our excellent community preschools, while guaranteeing early learning staff the pay rates they have long deserved,” Ms Car said.
“Every child deserves access to safe, high-quality early learning. These reforms will help community preschools deliver quality education programs at an affordable cost to families, while meeting their regulatory obligations.”
“We’re committed to keeping costs down for working families and giving more children a confident start at school, and we’re also committed to ensuring workers in this sector are paid fairly.”
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