Canada and Ontario extend childcare funding agreement to 2031

The federal government and the Province of Ontario have extended their Early Learning and Child Care Agreement for an additional four years, running until March 2031. The deal involves approximately $12 billion in new federal funding to support the province’s childcare system.

Under the extension, Ontario commits to maintaining average childcare fees at $19 per day until June 30, 2027. While the original national goal was $10 per day, officials did not provide assurances that costs would reach that lower target. Additionally, the deadline for the province to create 86,000 new childcare spaces has been extended to March 31, 2027.

While government officials Patty Hajdu and Paul Calandra emphasized that the agreement provides essential stability and protects existing progress, the Canadian Union of Public Employees (CUPE) criticized the deal. CUPE stated the agreement lacks the ambition needed to address the workforce crisis, noting it is silent on wage rates and pension plans for childcare educators.