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workplace patterns – and the cost of living – have changed, and more women seek to re-enter the workforce when babies are younger. The outcome has been a perverse funding gap, into which many of the country’s 2-year-olds have fallen.

Because 2-year-olds were considered too young for the 20 Hours funding but too old for infant subsidies, they are in a hinterland where they get $5 an hour less than any other child.

Education Ministry subsidies for childcare providers are based on funded child hours, in three bands – under twos, two and over, and 3-5 year olds. Each child is funded for up to 30 hours a week, but the base rate differs depending on the age of the child. (It also depends what type of daycare it is, and how qualified the teachers are, but we will look at an average childcare centre with mostly qualified teachers.)

The under-2 rate is the highest, at $13.20 an hour, based on the logic that this group has the highest teacher-child ratios of 1:5 and needs more intensive care. Parents don’t notice this funding in fees, as it is mostly sucked up by staffing.

The rate for children 2 and over, when the ratios switch to one teacher per 10 children, is the lowest, at $7.30. With the 20 hours policy, a new band was created for 3-5 year olds, with higher subsidies of $12.45. (Between 20 and 30 hours, this group defaults to the base rate of $7.30.)

But educators say in reality, 2-year-olds – who are mostly still in nappies – require a higher level of care and attention than older preschoolers, yet somehow qualify for less support. Centres end up having to prop up 2-yearolds with subsidies from other ages, and fees rise for all.

This has happened at the same time as the number of under-3s enrolled in ECE has boomed.

‘‘It is one policy plastered over another, written at a time when it was expected women would stay at home with their children and then enter the workforce when they were three,’’ says Te Rito Maioha Early Childhood New Zealand chief executive Kathy Wolfe. ‘‘The funding system hasn’t caught up with the choice of parents, who want to put their children in ECE younger.’’

The NZ Educational Institute, the Early Childhood Council, and the Office of Early Childhood Education are among those united on expanding 20 Hours to under-3s. ‘‘It’s such an obvious thing to do,’’ says ECC chief executive Simon Laube. ‘‘Why do they persevere with these policies that don’t serve children? They

This is the first article in Michelle Duff’s series The Jugglenaut, which investigates how childcare got so complicated - and so expensive. To read more go to stuff.co.nz

don’t serve anybody.’’

Hipkins says the funding gap is an ‘‘unsustainable anomaly’’ that is a priority to address, along with bringing down the 1:10 ratios for that age group to 1:5.

Does that mean extending 20 Hours to 2-year-olds?

‘‘Not necessarily, no ... I’m certainly not making that commitment, but it does involve looking at the overall sufficiency of funding for 2-year-olds.’’

Parents, head down in the childcare juggle, keep doing what they can. Kelsey Ellery-Wilson, 30, had to go back to work when her children were 6 months old to get ahead in her finance career. But she struggled to find childcare in her small town, settling on a daycare she was not completely happy with that charged $6.50 an hour and required a 40km round trip.

She pulled both her children out after realising her older son was being neglected. ‘‘It wasn’t like horrible abuse or anything, but he had quite a speech delay and if they didn’t understand him immediately they’d just ignore him, and it really destroyed his confidence. I don’t think it was them trying to be cruel or anything, they were just so busy.’’

She changed jobs to get more flexibility so she can send her boys, now aged 2 and 4, to the local kindergarten for free. ‘‘It would be good if there would be more flexibility and support for parents to get jobs in kindy hours – I want to spend time with my kids and have money to feed them.’’

She wishes unpaid care work was more valued by employers.

‘‘It’s not easy looking after kids, and I wonder how many people in charge of hiring have never been alone at home with small children for any period of time? They don’t appreciate how hard it is. It’s relentless. You can’t tell your kids ‘Oh you guys can stop needing stuff now, I need a break’.’’

Barriers to childcare are higher for Ma¯ori, who are two to three

‘‘It would be good if there would be more flexibility and support for parents to get jobs in kindy hours – I want to spend time with my kids and have money to feed them.’’

Kelsey Ellery-Wilson