Lower child care fees a relief for parents, but will provinces meet rising demand?

Parents are seeing their child-care fees reduced by 50 per cent, on average, as part of the federal government's agreements with provinces and territories.

Nour Alideeb and her partner are trying to decide what to do with the hundreds of dollars they’re now saving on child care for their two-year-old son.

Parents are seeing their child-care fees reduced by 50 per cent, on average, as part of the federal government’s early learning and childcare agreements with provinces and territories.

For Alideeb and her family in Mississauga, Ont., that means about $700 in savings each month.

“Seeing the fees come down, it’s like, oh my goodness, I can start saving for his school, we can put money away for maybe home renovation,” she said.

“There’s just so many possibilities now that you’re able to save that money or put it towards other things.”

The Liberal government earmarked $30 billion over five years in the 2021 budget to set up a long-promised national child-care program.

Under the agreements between the federal, provincial and territorial governments, fees will come down to $10 a day, on average, by 2026.

As parents breathe a sigh of relief, however, some in the child-care industry are ringing alarm bells over concern there won’t be enough spaces to meet demand.