Regrettably, Canada's current policies do not meet the needs of Canadian families. Canada has lagged behind other developed countries in its investment in early learning and care for decades, and it now has the lowest rate of access to early learning and child care programs for preschool children of 20 comparable countries.
Notably, the federal government's approach to supporting families with children introduced in 2006--the universal child care benefit--has not met its stated objective of providing families with choice. Cancelling dedicated child care transfers to provinces and introducing a taxable family allowance has not addressed family child care needs.
The situation is getting worse in B.C. Child care funding has been cut as a result of changes in the federal commitment, forcing child care fees to go up.
Our recommendation to the standing committee this year is consistent with our advice over the last number of years. It's time to invest in children. We recommend, based on the principles and accountability framework outlined in Bill C-303, that the next federal budget include the first installment of a four-year commitment to create a licensed child care space for every three- to five-year-old in the country, as the first phase in building a comprehensive system for zero to 12 years old.
The gross projected cost of meeting this first benchmark is $5 billion. Based on experience elsewhere, Canada can expect an immediate return of 40% through income taxes from increased labour force participation. In addition, Canada can expect a longer-term return of 2:1 on reduced social, educational, and health care costs as children get a good early start through their life cycles.