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Why childcare costs could be set to rise
Why childcare costs could be set to rise

24 February 2026, 6:09 PM

Some parents returning to work are facing childcare bills of $15,000 or $20,000 a year, and the industry is warning bills could rise.Stephanie Pow, founder of Crayon, which helps employers with staff wellbeing, particularly around support for parents, said the cost of childcare and early childhood education was a big pressure point for a lot of families."It's equivalent almost to private school fees. A lot of them are parents who would not otherwise be putting their kids in private school. And that's per child, so if you have twins or you have two or more young children, it multiplies from there. When you look at the OED data, New Zealand is one of the least affordable countries in the world for childcare as a percentage of income."She said two parents earning full-time average wages in New Zealand with two children in full-time daycare would spend more than a third of their income just on childcare.Data from the Household Economic Survey shows that the average cost of early childhood education has risen from $25.71 a week in 2007 to $85.18 in 2013, $95.45 in 2019 and $90.62 in 2023.Between the March 2025 quarter and December 2025, early childhood education costs increased by 2.5 percent.Family Boost payments took effect in July 2024, which contributed costs falling 22.8 percent through the same period a year earlier.Family Boost covers 40 percent of a household's childcare cost, up to $1560 for households earning up to $35,000 a quarter.Households with income between $35,000 and $57,286 a quarter can claim either 40 percent of their ECE fees or the maximum $1560 minus 7c for every dollar earned over $35,000 - whichever is less.Centres are also funded through the 20 Hours ECE scheme, which provides a subsidy for up to 20 hours a week of childcare, at six hours a day. Some centres offer 30 hours using other subsidies.Costs varyThe Office of Early Childhood Education, an advisory body for the sector, said home-based education fees could range from $5 an hour to $12 or more.Playcentres were the most affordable. Kindergartens received more money under the 20 hours scheme and could charge as little as $3 per hour for care beyond that, it said.Most other centres charged $5 to $8 an hour for children not receiving 20 hours funding.Amanda White, a researcher at the NZ Council for Educational Research, said the cost could differ a lot."Sadly this variation does exist, and can be very costly for some parents and whānau. High quality ECE should be a public good for all children to access. A higher cost does not in any way reflect the quality of education children receive in a particular centre - there is no evidence that private centres offer better education/care than non-profit ECEs like community-based and kindergartens."Teacher qualifications, teacher-child ratios and group size are critical factors in terms of ECE quality."Fee warningBut the Early Childhood Council, which represents operators, said if changes were not made, the costs were likely to increase, or more centres would close.It said 443 closed between March 2022 and July 2025 as pay parity requirements and "sustained underfunding" affected the sector.The Government established a Ministerial Advisory Group in June to review funding for early learning. A paper as part of the review noted that the intention of the 20 hours scheme was for regular reviews to adjust funding to reflect increases in the cost of providing care."Many EE service providers say that the funding received for the 20 hours free does not cover the cost of delivering the service. While this may be correct, it is largely anecdotal."Services can require kids to attend more than 20 hours and charge for the additional hours, as well as asking for top-up payments.Early Childhood Council chief executive Simon Laube said since 2019 there had been an 11.5 percent gap between the cost adjustments of the subsidy and inflation."We're saying to the government that they need to, to try and just keep the lights on, put a bit more money into the system."If they don't put in a significant cost adjustment this budget it's going to lead to either parents having to pick up some of the rising costs through increased fees or more providers are going to fail."Our view is yes you can always afford to lose a few centres, overall there are thousands of centres in New Zealand… but the trend has kind of turned and we are losing more centres than we are opening… it's not really in the interests of parents to lose these options."He said because centres were funded on a demand basis, they were sensitive to things like changes in the job market that could mean more parents staying home."If you're putting up your fees, anyone who can do that should have already done that... so now you're in the real crunchy period where every time you put up fees you're going to lose enrolments."Every time you do it you're just going to trigger a demand change because they don't have the ability to pay."He said the funding review needed to consider centres' ability to pay higher salaries. "The Government funding doesn't actually try to keep up, it's just set at a certain rate and it never increases. Whereas the obligation we've got is that every single teacher moves up an increment every year. Some of those increments are 7 percent between steps once you're on the scheme.. there's a real pressure on providers to increase fees just so they can retain their teachers."He said the government's review was a good opportunity to address the problems and find a solution. "But solutions take time and changes to the funding system will take years to design and implement... I can't just go 'oh you know, it'll be okay in the future'. Providers today need a bit of help just to keep the lights on."Some centres are making the numbers work, however. It was reported in 2024 that childcare charity Best Start made a profit of $32 million in 2023.Occupancy questionsPow said parents were already finding it tricky to find care in some places."When we're coaching parents we often tell them they should look into it 12 months or more before they intend to put their child into care because it can be so difficult to get a spot. There are a lot of wait lists and you don't want to be in a position where you return to work and you haven't secured childcare or weren't able to get your first preference."Laube said centres had the highest occupancy in areas like Canterbury, where they could be up to 80 percent full."Whereas Auckland, you know, if you talk to the providers, they think that there are too many providers in Auckland. But that's not really what the data is showing. The data is showing there are, you know, thousands of children up in Auckland who don't even participate…Auckland's challenge is something that we're really trying to drill into."Otago University economist Murat Ungor said it was something that the country should address."ECE plays a critical role in human capital development. The World Bank notes that the first five years of life are the fastest period of human growth and development, with around 90 percent of brain development occurring by age five. Investing in these early years helps break cycles of poverty, reduce inequality, and boost long-term productivity."Recent UNICEF reports rank New Zealand fourth lowest out of 36 OECD and EU countries for child wellbeing, and lowest for mental wellbeing specifically. These statistics show the urgent need to prioritise early investment in the health, education, and wellbeing of New Zealand children."Today's children are tomorrow's labour force, so by investing more in our children, we will have a healthier and more skilled labour force and thus, a more productive Aotearoa."Get the Hibiscus Coast headlines first.Corrections, tips, or photos, [email protected]

Scholarships Fund 235 Primary Care Nurses
Scholarships Fund 235 Primary Care Nurses

23 February 2026, 5:53 PM

For primary care nurses here on the Hibiscus Coast and around New Zealand, advanced education opportunities are expanding.Health Minister Simeon Brown says 235 primary care registered nurses will start advanced education through new scholarships this year.Mr Brown says the Government committed last year to support up to 120 primary care registered nurses each year over four years, and demand has led to 235 scholarships being awarded this year. Placements begin from next week, and calls it “the highest number of primary care nurses ever supported into advanced education in a single year”. The expansion has been achieved within existing funding.Of the 235 registered nurses currently working in primary and community healthcare settings, 147 will work towards a Postgraduate Diploma in Prescribing and 88 will undertake a Master of Nursing. Mr Brown says nurses who complete these qualifications can become registered nurse prescribers, working as part of collaborative healthcare teams and prescribing from an approved list of medicines. Many will continue along the pathway to become nurse practitioners.Mr Brown says nurse prescribers can now prescribe 211 additional medicines, covering “a wide range of common and long-term conditions such as high blood pressure, diabetes, respiratory conditions, and menopause symptoms”. This additional training capacity comes following the expansion of prescribing rights announced in December.Get the Hibiscus Coast headlines first.Corrections, tips, or photos, [email protected]

National To Review Hauraki Gulf Fishing Rules
National To Review Hauraki Gulf Fishing Rules

22 February 2026, 7:57 PM

National's conservation spokesperson Tama Potaka says the party will campaign on further restricting commercial fishing in the Hauraki Gulf.Legislation brought by the coalition government last year, established 12 high protection areas (HPAs) where a range of activities, including most commercial and recreational fishing, are prohibited, and five sea floor protection areas.At the time, the opposition criticised the government for a late-stage amendment allowing commercial ring-net fishing operators exclusive access to two of the HPAs.In a statement on Saturday, Potaka acknowledged that had "caused widespread concern from the hundreds of thousands of users of Auckland's key recreational waterway".Maungakiekie-based Labour MP Priyanca Radhakrishnan said at the law's introduction that Labour would reverse the carve-out, if elected."Despite the environment select committee unanimously recommending to this house that the bill be passed with no substantive change, at the 11th hour, because of some active lobbying of the minister of oceans and fisheries, we saw this government cave to that pressure and they have chosen to water down the protections in the original bill."Labour, in government, will reverse the change that allows ring-net fishing in those HPAs."Now, Potaka said National would also look to reinstate a total ban on fishing in the HPAs if re-elected."A further decision, to allow bottom trawling in some designated trawl corridors in the Gulf has also been controversial, so we will review that also."He wanted a consistent approach to the protection of the gulf, that struck a balance between serving the needs of recreational users as well as commercial."At the heart must be the health of the Hauraki Gulf. It is Auckland's playground and the centrepiece of some of New Zealand's most iconic aquatic events."Get the Hibiscus Coast headlines first.Corrections, tips, or photos, [email protected]

Woman Charged Over Village Burglaries
Woman Charged Over Village Burglaries

21 February 2026, 7:03 PM

Police are reminding residents at retirement villages across Auckland to be cautious.A 60-year-old woman faces burglary charges after alleged offending at a west Auckland retirement village.The arrest comes as Police investigate other burglaries at villages across the Auckland region. Detective Senior Sergeant Ryan Bunting, Waitematā West Area Investigations Manager, says five charges have been laid so far.“We have been investigating a spree of offending on one day in late January, where five residents were allegedly targeted in their residences,” he says.“Three residents have been the victims of burglaries with expensive jewellery and cash allegedly stolen.”Police estimate the offending to be valued at nearly $8,000.The woman has been charged with three counts of burglary and two counts of being unlawfully in a building. She will appear in the Waitākere District Court.Detective Senior Sergeant Bunting says following Thursday’s arrest, enquiries are ongoing into recent burglaries reported at other Auckland retirement villages. Further charges cannot be ruled out, he says.“It’s unfortunate when vulnerable members of the community are targeted in this matter, and we will oppose the woman’s bail at her court appearance.”“It’s important that residents be mindful of people who might be out of place in these villages, and keep an eye out for your neighbours,” Detective Senior Sergeant Bunting says.“Never let someone inside your unit unless you know who they are or have confirmed their identity with management.“I’m encouraging families to check in on their loved ones and reiterate this advice.”Always keep your valuables hidden and secure wherever possible.Get the Hibiscus Coast headlines first.Corrections, tips, or photos, [email protected]

Business Confidence Surges
Business Confidence Surges

20 February 2026, 2:49 AM

Business confidence has surged to its strongest level since 2022, according to Auckland Business Chamber.The February 2026 Business Confidence Survey, conducted between Sunday, February 9 and Tuesday, February 17, shows negative sentiment falling from 44% in November to 25%.Positive sentiment doubled from 16% to 32%.Simon Bridges, CEO of the Auckland Business Chamber, said the results mark a decisive shift.“This is a material turnaround. After a long stretch of businesses feeling battered, this is a real lift in mood.”Over half of businesses expect the economy to improve over the next 12 months.The share reporting performance below expectations fell from 47% to 36%.Revenue down year-on-year dropped from 50% to 41%, while revenue up lifted from 30% to 38%.“We’re starting to see conditions firm. Confidence is leading performance, which is often how recovery phases begin,” Bridges said.Hiring intentions softened, with 41% planning to hire, down from 47%.Two-thirds have raised or plan to raise prices, up from 61% to 66%.Cost pressure remains, with 78% expecting costs to rise, down four points since November.Inflationary pressure and interest rates rose as a concern from 29% to 44%.Consumer confidence and demand remains the top issue, cited by 55% of businesses.“Confidence is improving, but cost pressure hasn’t gone away,” Bridges said.Get the Hibiscus Coast headlines first.Corrections, tips, or photos, [email protected]

SPCA Calls For Law Review
SPCA Calls For Law Review

19 February 2026, 7:14 PM

SPCA is calling for an urgent review of the Dog Control Act 1996 following a fatal dog attack in Northland.The organisation says the tragedy marks the fourth fatal dog attack in four years in New Zealand and the third in Northland.“Our thoughts are with the woman’s whānau and the wider community during this incredibly heartbreaking time," says SPCA Chief Scientific Officer Dr Arnja Dale.She says New Zealand’s current approach to dog control is not fit for purpose and is urging a substantive review of the 30-year-old law.SPCA is calling for reinstatement of Central Government grants to councils to subsidise desexing of menacing and roaming dogs, and for standardised national guidelines on actions after a dog bite incident, incorporating tools such as the Dunbar Bite Scale.“There is no single silver bullet,” Dr Dale says.“Effective prevention relies on strong legislation, consistent enforcement, responsible breeding oversight, desexing, early behavioural intervention and public education. What is needed now is leadership from Central Government and a comprehensive, substantive review of this outdated law.”The organisation says it has been engaging with successive ministers since 2015 and wrote again to the minister on Wednesday morning requesting a meeting.It says while it welcomes the Department of Internal Affairs’ work to update operational guidance for councils, guidance alone cannot resolve weaknesses in the primary legislation.Public concern is reflected in two parliamentary petitions before a Select Committee calling for modernisation of the law.Get the Hibiscus Coast headlines first.Corrections, tips, or photos, [email protected]

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