Economics
Supply & Demand
QLD leads rebound in new LDC openings according to latest ACECQA Snapshot
Jason Roberts
Aug 11, 2019
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A net total of 75 new long day care service approvals were issued in the second quarter of 2019 according to the latest release of the Australian Children’s Education and Care Authority’s (ACECQA) snapshot, representing an increase of 3.9 per cent year on year, and the first quarterly increase since the September quarter of 2018.
Although annualised growth levels are still below the levels seen towards the end of 2017 and most of 2018, it is notable that growth rates appear to have moved back towards the 4.0 per cent level in what has historically been quite a quiet quarter. 
The 5.0 per cent increase in QLD issuance compares to a 4.7 per cent increase in Victoria (VIC), 3.5 per cent in Western Australia (WA), 3.3 per cent in New South Wales (NSW) and 2.1 per cent in South Australia (SA) all of which were lower, sometimes materially so, than the peak levels they recorded in the last 3 years. 
A total of 582 schemes remain in operation, a fall of 23.0 per cent on the previous year and down 47 per cent from June 2016.
Although annualised growth levels are still below the levels seen towards the end of 2017 and most of 2018, it is notable that growth rates appear to have moved back towards the 4.0 per cent level in what has historically been quite a quiet quarter. Queensland sees step change in growth rates this quarter
22 new services opened in Queensland (QLD) in the quarter, an increase of 5.0 per cent in the levels recorded last year, and the largest increase for QLD in since ACECQA started reporting on issuance.
The 5.0 per cent increase in QLD issuance compares to a 4.7 per cent increase in Victoria (VIC), 3.5 per cent in Western Australia (WA), 3.3 per cent in New South Wales (NSW) and 2.1 per cent in South Australia (SA) all of which were lower, sometimes materially so, than the peak levels they recorded in the last 3 years. Family day care issuance remains under pressure, OSHC and Preschool are steady
The contraction in the number of family day care licences in issue fell once again in the second quarter of 2019.
A total of 582 schemes remain in operation, a fall of 23.0 per cent on the previous year and down 47 per cent from June 2016. Outside school hours care new approval issuance increased 0.9 per cent on the same period last year, the lowest quarterly growth rate for at least three years.The pre school setting saw growth rates moderate somewhat from the March quarter of this year, recording an increase of 0.2 per cent year on year.
For more information on the supply dynamics of the early childhood and care sector in Australia please click here to access ACECQA’s latest snapshot.
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