Manitoba Eliminates Child-Care Fees for 3,000 Low-Income Families

For a low-income Manitoba family with a young child in care, the province’s latest child-care change could turn a recurring bill into real relief.

The Manitoba government is eliminating child-care fees for 3,000 eligible low-income families through changes to the Child-Care Subsidy Program. The fee elimination covers about 4,100 children aged 12 weeks to 12 years, with eligible families expected to save between about $520 and $2,600 per child each year.

Who qualifies for waived fees

The Winnipeg Free Press reported eligible parents will have their child-care fees waived starting Sept. 13.

This initiative in Manitoba comes at a time when similar changes in Saskatchewan have impacted families relying on casual daycare spaces, highlighting the ongoing adjustments in child-care policies across the provinces.

Eligibility is based on a family’s income, the number and ages of children, the number of days care is required and the reason care is needed. The program applies to children from 12 weeks old up to age 12.

“Early childhood learning plays a critical role in supporting children, families and communities across Manitoba,” Education and Early Childhood Learning Minister Tracy Schmidt said in a provincial statement. “Our government wants to support the single mom or dad juggling their job, caring for their children and all of the other responsibilities they have every day.”

Schmidt said removing the fees supports parents and caregivers while children receive child care.

How the subsidy is changing

Under the existing subsidy system, participating families pay a fixed or non-subsidized portion of parent fees. Financial assistance then covers part or all of the remaining balance, depending on eligibility.

The new change removes that fee for eligible families.

At a news conference, Schmidt described the move as “hugely, hugely impactful for the families that rely on this important, important service of child care.”

The savings are expected to range widely, from about $520 to $2,600 per child per year. For families balancing rent, groceries, transportation and other basics, advocates say even smaller recurring fees can shape monthly choices.

Poverty advocates praise the move

The Canadian Centre for Policy Alternatives said removing the fees is an important step in reducing family and child poverty during the affordability crisis.

Molly McCracken, the organization’s director, said the fees may have looked modest on paper, but they mattered deeply to families already living on low incomes.

“Every single dollar matters,” she said. “Between buying groceries, paying rent, bus fare, gas, and basic necessities, those fees add up, and they create barriers, stress, and sometimes very difficult choices.”

McCracken called the change “an important step forward” for low-income families.

Child-care spaces still scarce

Daycare operators welcomed the fee elimination, but said affordability is only one part of the child-care problem.

Jamie Grouette, executive director of Magical Horizons Daycare in Dauphin, said support that helps families return to work or school is valuable, and subsidies have long been important to how daycares and families manage costs.

“I think the subsidy program is great,” Grouette said. “The only hurdle that I see is that we’re so limited for daycare spaces in Dauphin that it’s really hard for families to find child-care, so it’s great that [the province is] making it more affordable, but it’s the actual spaces that are difficult to find.”

That concern is echoed in Winnipeg. Operators have cited a 1,000-child waitlist at Panda Bear Day Care as an example of the demand families continue to face.

Panda Bear Day Care executive director Micheline Fay said the announcement was good news for families, but she warned it could add pressure to an already long waitlist. She also said she would like to see subsidies reach beyond low-income families.

“I think if we could subsidize families, or incorporate us along with the schools and make it a global system, I think that would make a huge difference,” Fay said.

Schmidt has said the province’s goal is a child-care system that works for Manitobans. For families who qualify, the immediate change is simpler: fees are being wiped away. For many still waiting for a spot, the relief may depend on whether space becomes available.

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