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Childcare Sector News
 30 Jan 2026

The Building Early Education Fund is promising more early learning services where they’re needed most, and this is good news for families in childcare-challenged areas.    

BY HEJIRA CONVERY, KINDICARE

JANUARY 30, 2026

The Australian government and the Tasmanian government have just agreed to spend tens of millions of dollars building more not-for-profit early learning services in Tassie. 

This will be amazing for some families who’ve been struggling to access childcare due to limited places, a service closure, or no centre near them. 

And with a large chunk of the money coming from the federal government’s Building Early Education Fund, now’s a great time to explain what this Fund actually is.  

So, here goes. The Building Early Education Fund is a $1 billion investment by the Australian government in our early childhood education and care (ECEC) system.  

The Albanese government first announced the Building Fund in late 2024, and it’s the single biggest investment in new childcare services by any Australian government. 

This Fund is all about improving access to quality ECEC around the nation, and it will pay for early learning services to be built new, or expanded, in the areas that need them most. 

This means construction is particularly likely in the outer suburbs and regional areas of Australia, where quality childcare can be elusive (or impossible) to come by. 

Money-wise, the $1 billion Building Fund is being split into two parts. 

$500 million will be spent to build and expand ECEC services. 

There’s a current focus on building services on or near school sites, and bringing new ECEC to the communities that have been prioritised as most in need.  

$500 million is then being set aside for the Australian government to build, own and lease ECEC services.

The aim is to increase the supply of ECEC services, but this part of the Building Fund is under construction itself, with the government still investigating how owning and leasing might work. 

All in all, the Building Fund has upsides for families in childcare-challenged areas, and it’s part of a larger move towards universal ECEC.  

The Albanese government is forging a path towards simple, affordable and accessible ECEC for every family who wants to use it, and the Building Fund is part of this.  

It aims to break down the barrier of distance, and open up more childcare places. 

So, we’re happy for those Tassie families who’ll benefit from the Building Fund, and hopeful for all the Aussie families who need it next.   

Stay tuned.  

And if you want to see which childcare options you have, the FREE KindiCare App and kindicare.com make it easy to search, compare, enquire and apply.