Enforcement action doubles as quality standards reach record highs across ECEC

Enforcement action across the early childhood education and care sector reached record levels during the latest reporting period, with regulators taking more than twice as many compliance actions as they did a year earlier.

New quarterly data released by the Australian Children's Education and Care Quality Authority (ACECQA) shows regulators undertook 1,538 compliance actions during the quarter, compared with 735 during the same period last year. During the same reporting period, 589 provider approvals were cancelled, reflecting a significant increase in regulatory intervention where services failed to meet legislative and regulatory requirements.

The figures were released as the Australian Government highlighted the impact of a suite of child safety and quality reforms introduced over the past year in partnership with states and territories.

Despite the increase in compliance activity, the sector's overall quality profile continues to improve.

According to the latest National Quality Framework data, 92 per cent of approved services are now rated as Meeting the National Quality Standard (NQS) or above, the highest proportion since the framework was introduced. This compares with 88 per cent when the Albanese Government came to office.

The data also shows the proportion of services operating under staffing waivers has fallen to 4.3 per cent, down from 7.9 per cent during the same period last year, indicating fewer services are relying on temporary regulatory exemptions.

The increase in enforcement follows the implementation of the Australian Government's child safety reform agenda, supported by a $500 million investment aimed at strengthening quality and accountability across the sector.

Key initiatives include more frequent assessment and rating visits, with services expected to be assessed on average every three years, targeted monitoring of services rated Working Towards the NQS, and new Commonwealth funding conditions that link eligibility for the extended 15 per cent early childhood workforce wage increase to meeting quality requirements.

Together, the reforms are intended to strengthen regulatory oversight, improve child safety outcomes and support continuous quality improvement across the sector.

Minister for Education Jason Clare said the latest figures demonstrated that stronger regulatory oversight was lifting standards across the sector while reinforcing child safety.

"There is nothing more important than the safety of our kids. Enforcement action is at record highs. The percentage of services meeting the national quality and safety standards is at the highest level ever as well," Mr Clare said.

Mr Clare also pointed to recently introduced legislation that would allow the Commonwealth to withdraw Child Care Subsidy funding from providers that fail to meet required quality and safety standards, describing it as another step towards strengthening accountability.

While welcoming the improvement in quality ratings, he emphasised that ongoing vigilance remained essential.

"This work will never end."

For approved providers, the latest figures reinforce that compliance activity is expected to remain elevated as governments continue implementing child safety reforms across the sector.

Services should expect increased regulatory scrutiny, including more frequent assessment and rating visits, targeted monitoring where concerns are identified, and stronger expectations around governance, documentation and evidence of compliance.

The closer alignment between quality performance and Commonwealth funding arrangements also means maintaining compliance with the National Quality Framework is becoming increasingly important from both a regulatory and operational perspective.

While the overwhelming majority of services continue to meet or exceed the National Quality Standard, the latest data signals a regulatory environment that places greater emphasis on early intervention, continuous monitoring and timely enforcement where risks to children's safety or wellbeing are identified.

Read the full Minister's media announcement here.