South Australian Budget delivers new support for families and expands OSHC capacity

The South Australian Government has announced a suite of cost-of-living measures aimed at supporting families while providing greater certainty for businesses, including a $45.5 million investment to create around 2,300 new Out of School Hours Care (OSHC) places across the state.

The package forms part of the Malinauskas Government's 2026–27 State Budget and is designed to ease financial pressure on households, strengthen workforce participation and support long-term economic growth.

For the early childhood education and care (ECEC) sector, the expansion of OSHC services and broader measures aimed at supporting working families are likely to be of particular interest.

New OSHC places to support working families

The Government will invest $45.5 million over four years to establish OSHC services at 68 government primary schools that currently do not offer before and after-school care.

The expansion is expected to create approximately 2,300 additional places, providing greater flexibility for families balancing work and caregiving responsibilities.

The announcement reflects growing demand for school-age care services and the increasingly important role these services play in supporting workforce participation.

Broader cost-of-living support

The Budget includes more than $500 million in new measures aimed at reducing household expenses and supporting participation in education and community activities.

Among the initiatives announced are:

• fee-free public schooling from Reception to Year 12 from the 2027 school year
• $76 million over four years to support children's participation in school camps, excursions and extracurricular activities
• an expansion of the Sports Voucher Plus program
• continued investment in education infrastructure and workforce development.

The Government said the measures are intended to provide immediate relief for families while strengthening the state's economic outlook.

What it could mean for the ECEC sector

While the announcement is broader than childcare alone, several elements may have implications for providers.

Supporting workforce participation

Reducing financial pressure on families can help remove barriers to employment and increase workforce participation, particularly among parents and carers.

As more families engage in work, study or training, demand for education and care services may continue to grow across both early childhood and school-age care settings.

Greater certainty for service planning

The Government has positioned the package as part of a broader strategy to provide certainty for businesses.

For ECEC providers, stable policy settings can support longer-term planning around workforce requirements, service delivery and investment decisions.

Increased focus on school-age care

The significant investment in OSHC infrastructure highlights the growing role of outside school hours care in supporting families and local communities.

Providers operating across multiple service types may be watching closely for opportunities arising from the expansion, including potential partnerships, workforce pathways and service growth.

Education and workforce investment

The Budget also includes substantial investment in education infrastructure and workforce initiatives, including:

• $210 million over six years for upgrades and redevelopment projects across 37 public schools
• $65 million over six years to support student achievement and educator capability
• new pathways designed to encourage more people into teaching careers
• $150 million over four years to establish and operate three new technical colleges.

While these initiatives sit outside the ECEC sector, they reflect a broader focus on education, skills development and workforce growth.

Looking ahead

The creation of 2,300 additional OSHC places represents one of the most significant education and care measures announced in the South Australian Budget.

As implementation details emerge, providers and sector stakeholders will be seeking greater clarity around delivery models, timelines and opportunities for involvement.

The announcement also reinforces the growing recognition of the role education and care services play in supporting families, workforce participation and economic productivity.

Read the full announcement on the South Australian Government, Relief for families, certainty for business here.