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Parents, Providers React to New $22-a-Day Child-Care Cap

by daisy

Starting in 2025, parents with children under six will pay no more than $22 a day for child care if their provider is part of the national $10-a-day program, the province announced on Thursday.

Beginning January 1, 2025, Ontario parents will see child-care costs drop to an average of $19 per day, with the maximum set at $22. The original start date for the $10-a-day program was September 2025, but it has now been delayed to March 2026.

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Prospero, a representative from RisingOaks Early Learning Ontario, shared the challenges faced by non-profit child-care organizations due to uncertainties in the funding formula. “As a non-profit, we have a mandate to expand. But without a clear funding structure, it’s been difficult to sign leases or build new facilities to provide more child care,” he explained.

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Currently, RisingOaks charges parents around $38 a day for infant care. Under the new program, parents could save approximately $16 per day starting next year.

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Waitlist Concerns

As child-care costs decrease, the demand for spots has surged. “Once we joined the CWELCC program, our waiting list ballooned,” Prospero admitted.

According to Children’s Services for the Region of Waterloo, there were over 5,500 children on the region’s waitlist before the $10-a-day program was announced. That number has now swelled to over 10,000, with 6,000 children needing immediate care.

A spokesperson for Waterloo Region stated that the region is on track to meet the growth targets set by the Ministry of Education. “Under CWELCC, we have already added 1,013 new child-care spaces and will create 2,712 more by the end of 2026.” However, even with this expansion, there will not be enough spaces to meet the demand.

Kitchener parent Rachel Persaud shared her experience of waiting over two years for a child-care spot for her 2-year-old. While the wait was long, she’s relieved to be paying less next year. “Everything’s expensive, especially with kids, so any savings help,” she said.

The new funding structure only applies to parents with children under six, leaving those with older kids without relief. “Parents who previously received subsidies for infant and toddler care might not need it anymore, but they’re facing higher costs for school-age programs that aren’t reduced,” Prospero explained.

RisingOaks plans to continue advocating for the expansion of the program to include older children.

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