Childcare fees on the rise

Working parents in Australia could be tempted to compare their savings accounts in order to find a better deal following the publication of a new report on childcare fees.

According to the study by the OECD, Australian families are currently spending up to ten per cent of their income on childcare and costs are set to rise, the Herald Sun reported.

The report showed that Australian fees are some of the highest in the world, with the country ranking 12th out of 32 respondents.

It follows a row over childcare charges after the Labor Party announced plans to bring in a new COAG-approved framework which would see child-to-staff ratios improved at an additional cost of $3 per day.

However, critics of the idea, including private sector firms, have said the rise could in fact be anything up to $35 per day.

Frank Cusmano chief executive The Child Care Centres Association of Victoria told the newspaper: "This is a classic case of well-intentioned initiatives having unintended consequences, which, in this case, will see families priced out of well-regulated, quality care and into unregulated backyard care."