The Government of Canada has announced additional funding aimed at maintaining affordable child care across Canada and supporting the long-term stability of the Canada-wide early learning and child care system.
According to Employment and Social Development Canada (ESDC), on June 19, 2026, the Honourable Patty Hajdu, Minister of Jobs and Families, informed provincial and territorial ministers responsible for early learning and child care that the Government of Canada will invest up to $5.4 billion over two years, covering the 2026–27 and 2027–28 fiscal years.
The new funding comes in addition to more than $58 billion already invested through early learning and child care agreements with provinces and territories since 2021.
The Funding Announcement
The additional investment is intended to help maintain affordable child care for families while supporting the early childhood educators who make the system possible.
The funding is also expected to provide stability as governments continue working together to strengthen the Canada-wide early learning and child care system beyond 2026.
The focus remains on ensuring families across Canada continue to have access to affordable, high-quality, regulated, and inclusive child care programs.
Why Additional Funding Is Being Provided
In 2025, all Canada-wide early learning and child care agreements were extended, reflecting a shared commitment by governments across the country to continue building long-term solutions beyond 2026.
The new funding is intended to support the continued growth and sustainability of the system while discussions continue on its future development.
Keeping child care affordable remains a priority as many families continue managing economic pressures and rising living costs.
Results of the Program So Far
Information released alongside the funding update highlighted several outcomes associated with the Canada-wide early learning and child care system.
Parents are currently saving up to $11,255 per child each year through the program.
Governments have also announced measures aimed at creating more than 250,000 new affordable, high-quality child care spaces across Canada.
The system continues to expand access to regulated child care while supporting families with more affordable options.
Impact on Workforce Participation
The update also highlighted the relationship between accessible child care and workforce participation.
In 2025, the labour force participation rate of mothers aged 25 to 54 with young children reached 79.5%, near a record high.
Accessible child care has helped more parents enter and remain in the workforce while providing children with opportunities for early learning and development.
What Happens Next
The additional funding will be provided over the next two fiscal years, from 2026–27 to 2027–28.
Provincial, territorial, and national governments will continue working together on the long-term development of the Canada-wide early learning and child care system.
The investment is intended to help preserve affordability, support early childhood educators, and provide stability while future improvements are considered.
What This Means for Families
For families currently using regulated child care services, the funding commitment signals continued support for affordability and access to child care programs across Canada.
The investment is expected to help maintain existing affordability measures while supporting the expansion and long-term sustainability of the child care system.
The Canada-wide early learning and child care program continues to play a significant role in helping families access affordable child care, supporting workforce participation, and providing children with opportunities to learn, grow, and thrive.
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