Alan Kohler’s case to nationalise childcare

In this episode of ABC News Daily, finance expert Alan Kohler makes a bold proposal to nationalise Australia's childcare system, arguing that the current for-profit model is unsustainable, inequitable, and failing families. He highlights the financial strain on middle-class households, where high mortgage costs and expensive childcare create a double burden, and points to the inconsistency of subsidising private childcare providers while restricting similar support to not-for-profit schools. Kohler suggests financing the nationalisation through childcare bonds issued to super funds, which could cover acquisition costs and ongoing operations, framing the investment as essential for long-term social and economic returns. While acknowledging the political and fiscal challenges, he calls attention to the systemic flaws in the current system. Professor Elizabeth Hill of the University of Sydney supports the core critique, affirming that early childhood education is a public good best served by public provision, not market forces. She argues that for-profit providers often compromise quality and safety, and while full nationalisation may be politically unrealistic, reforms like reducing private equity involvement and using public funding to improve workforce conditions are viable steps forward. The episode underscores a growing consensus that the status quo is failing children and families, and calls for a fundamental rethinking of how society values early childhood care.