Community & Business
9 November, 2026
Butler calls for the NSW government to provide transitional funding in 2027
The state's new universal preschool funding model has been widely criticised by the industry
Member for Barwon, Roy Butler, says transitional funding is needed to maintain community preschools at their current funding levels next year while the unintended consequences of a new funding model can be worked through.
The NSW government has revealed a new Universal Preschool Funding model, with formal offers to individual preschools expected to be made later this month. The model has provoked alarm amongst community preschools, particularly those serving disadvantaged communities.
Mr Butler said he has already raised concerns with education minister Prue Car and is now escalating the matter to premier Chris Minns.
“Community preschools are a key pillar of many country communities, preparing all kids for school and ensuring nobody is left behind,” said Mr Butler.
“But initial estimates suggest community preschools in Barwon could lose hundreds of thousands of dollars a year in state funding, potentially requiring them to reduce placements. Some may be forced to let staff go and others may have to scramble to recruit.”
“The sector is complicated with different services operating under different rules,” said Mr Butler. “It will take time to work through the Universal Preschool Funding model and address any unintended consequences.”
“That’s why I’m calling for the NSW government to provide transitional funding in 2027 to ensure community preschools don’t lose out while the model is refined,” said Mr Butler.
“The NSW government must not allow the important work done by community preschools to be disrupted while a new model is bedded down.”
