Affordability & Accessibility
Economics
Global perspectives: How Australia’s childcare reforms compare to Denmark and Canada
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Fiona Alston
Oct 08, 2025
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As countries around the world grapple with the challenge of affordable early childhood education and care (ECEC), new international comparisons are prompting reflection on what Australia can learn from other systems.
A recent CBC News report examined how childcare funding and access operate in Canada, Denmark and Australia highlighting that while all three nations recognise the critical value of early education, their policy and funding approaches differ significantly.Denmark: A model of universal accessDenmark is often regarded as a global leader in early childhood education. The Danish government heavily subsidises early learning, with parents paying only a small portion of actual costs. Local municipalities cap fees, and every child is guaranteed a place in an early learning program from around one year of age.
This approach reflects a long-standing national commitment to gender equity, workforce participation and child development. Importantly, Danish educators are paid professional wages comparable to teachers, supporting a stable, highly qualified workforce.Canada: Moving toward affordability
In recent years, Canada has been transitioning toward a $10-a-day childcare model through federal–provincial agreements aimed at reducing costs for families and expanding access. Although implementation varies between provinces, the initiative represents one of the largest national investments in early learning in the country’s history.
Canadian policymakers have emphasised that affordability must go hand in hand with quality, including workforce sustainability and equitable access for rural, Indigenous and low-income communities.
Australia: Focus on accessibility and workforce reform
Australia’s early learning landscape continues to evolve through the Child Care Subsidy (CCS) and a series of reforms aimed at improving affordability and access.
From 5 January 2026, the Federal Government’s 3 Day Guarantee will ensure that all CCS-eligible families receive at least 72 hours of subsidised care per fortnight, regardless of their activity test result. The reform aims to make early learning more accessible, particularly for families with limited work or study hours.
At the same time, Australia’s ECEC Workforce Strategy continues to address educator shortages and retention, acknowledging that quality and affordability are inseparable.Learning from global models
The comparisons drawn by CBC News highlight that while funding structures differ, successful systems share common features:
- Government leadership and stable investment in early learning.
- A professional, fairly paid workforce.
- Equitable access to high-quality care for all children, regardless of background.
- Long-term policy vision that positions ECEC as essential social infrastructure.
As Australia prepares for further CCS changes and sector-wide workforce reform, examining the experiences of countries like Denmark and Canada provides valuable insights into how affordability, quality and equity can be achieved together.
For more information, read the full CBC News article: Daycare in Canada, Denmark and Australia: How do they compare?
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