Singapore moves to slash childcare fees: what could Australia learn from its approach?

Singapore has unveiled plans to dramatically reduce childcare and infant care fees by 2030, while expanding the number of government-supported preschool places, a reform that provides an interesting comparison as Australia continues its own journey towards universal early childhood education and care.

Prime Minister Lawrence Wong used Singapore’s 2026 National Day Rally to announce a significant expansion of government support for preschool, describing greater public investment in the early years as one of the best investments the country could make.

Under the reforms, monthly fees for full-day childcare at government-supported preschools will progressively fall to S$150, while full-day infant care fees will reduce to S$300 by 2030.

The new fee levels will apply to Singaporean children regardless of household income, before means-tested assistance is applied, meaning lower-income families may pay even less.

The announcement represents more than another childcare subsidy increase.

It signals a broader shift in the way Singapore is positioning early childhood education, increasingly treating affordable access to preschool as part of the infrastructure supporting children and families.

One of the most significant aspects of the announcement was the comparison Mr Wong drew between preschool and primary education.

Singapore already provides affordable primary education regardless of household income or whether both parents are working.

The Government now wants to move preschool closer to the same principle.

Mr Wong said every Singaporean child should have access to quality preschool at fees families could comfortably afford, arguing that the early years play an important role in how children learn, grow and thrive. 

The Government will also extend full childcare and infant care subsidies regardless of the mother's working status.

Currently, working status affects the level of subsidy available, with non-working applicants generally receiving a lower basic subsidy.

The change is significant because it moves away from linking access to higher levels of childcare assistance primarily with parental workforce participation.

It also reflects a policy question being considered in many countries, including Australia: is early childhood education primarily a workforce support for parents, or an educational entitlement for children?

Increasingly, the answer appears to be both.

Singapore has also recognised that lowering fees will have limited impact if families cannot secure a place.

Government-supported preschools currently have sufficient places for around 80 per cent of preschool-aged children.

Before the lower fees are fully introduced, the Government intends to significantly expand that network, providing additional support for eligible preschool operators willing to join the government-supported system and meet its requirements.

Infant care capacity will also be increased alongside efforts to expand the infant educator workforce. 

It creates an important connection between three of the biggest challenges facing early childhood systems internationally: affordability, availability and workforce capacity.

Addressing one without the others can simply move pressure elsewhere in the system.

The announcement comes as Australia implements its own significant shift in ECEC policy.

Since January 2026, Australia's 3 Day Guarantee has provided all Child Care Subsidy (CCS) eligible families with at least 72 hours of subsidised early childhood education and care per fortnight, regardless of their level of recognised participation.

Families may receive up to 100 subsidised hours depending on their circumstances, including families caring for Aboriginal and Torres Strait Islander children. 

The reform replaced the previous activity test for the first 72 hours and has been positioned by the Australian Government as part of its pathway towards a universal early education and care system. 

It represents a significant shift towards recognising children's access to early learning independently of how much their parents work, study or volunteer.

But there is an important distinction between the Australian and Singaporean approaches.

Australia's 3 Day Guarantee provides eligible families with a minimum number of subsidised hours.

It does not guarantee a childcare place, nor does it guarantee that those hours will be free.

Families must still find an available place with an ECEC provider and may need to pay the gap between CCS and the fee charged by their service. 

Singapore is moving towards something different within its government-supported preschool network: establishing a much clearer expectation about the actual price families should ultimately pay.

By 2030, that target is S$150 per month for full day childcare and S$300 for infant care, before additional means-tested support.

In simple terms, Australia is increasingly universalising access to subsidised ECEC, while Singapore is moving towards universalising a highly affordable price within its government-supported network.

Neither model is directly transferable to the other.

Australia has a vastly different geography, significant regional and remote service-delivery challenges and a diverse ECEC market incorporating private, not-for-profit, community and government provision.

Singapore operates within a much smaller and more densely populated environment and already has a substantial government-supported preschool network.

But the principles behind its reforms provide an interesting point of comparison.

Perhaps the most relevant lesson is that affordability cannot be considered separately from supply.

Australia's 3 Day Guarantee may increase families' entitlement to subsidised care, but the Government itself acknowledges that it does not guarantee that a family will be able to find a place. 

Singapore's approach explicitly links lower fees with expanding the number of participating services.

That raises a broader question for Australia as it moves further towards universal ECEC.

If more children become entitled to subsidised early learning, where will the additional places come from, who will staff them and how affordable will the remaining family contribution be?

Singapore's reforms also demonstrate the potential value of setting a clear long-term affordability objective.

Rather than simply announcing another increase in subsidy, the Government has told families what it ultimately wants childcare to cost.

That provides a tangible measure against which progress can be assessed.

Perhaps the most interesting similarity between the two countries is the changing language surrounding early childhood education itself.

Australia's removal of the activity test for the first 72 subsidised hours means a child's basic entitlement is no longer directly determined by how much their parents work.

Singapore is similarly moving away from working status as a determinant of access to its full preschool subsidies.

Both changes point towards a broader reframing of ECEC.

For decades, childcare policy has been closely connected with workforce participation, particularly enabling women to enter or return to paid employment.

That remains important.

But governments are increasingly recognising early childhood education as something children themselves benefit from and should be able to access.

If ECEC is viewed primarily as workforce infrastructure, the policy question is largely about how governments help parents afford care so they can work.

If it is increasingly viewed as part of a child's education, another question emerges:

What level of quality early childhood education should every child be entitled to access, regardless of their family's circumstances?

Singapore has now taken a significant step towards answering the affordability component of that question.

Australia's 3 Day Guarantee has taken an important step on access.

As both countries continue reforming their early childhood systems, Singapore's experience will be worth watching, particularly how it manages the relationship between lower fees, increased demand, provider sustainability, workforce supply and quality.

Because ultimately, universal early childhood education requires more than an entitlement to a subsidy.

It requires families to be able to find a place, afford a place and have confidence in the quality of the education and care their child receives.

This article draws on Singapore’s official National Day Rally 2026 address and reporting by Channel NewsAsia and The Business Times.