The federal government will extend some COVID-19 childcare relief in a bid to ease cost-of-living pressures.
The measures were due to expire next week but will run for another 12 months.
The gap fee will be waived if a child contracts COVID while places at childcare centres will be held for kids unable to attend.
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Children will be able to be absent for 52 days of the year without losing their place.
The gap fee can also be waived if an immediate household member tests positive for COVID.
Education Minister Jason Clare said the move was commonsense.
“Keeping kids enrolled in childcare is good for them, good for families and good for the economy,” MIninster Clare told Newscorp.