About the subsidy

The Department of Education, Culture and Employment (ECE) has introduced a new Child Care Fee Reduction (CCFR) Subsidy to reduce child care fees by an average of 50% for families with children five years of age and younger who are attending a licensed early learning and child care program (licensed program). This new subsidy has been established so that licensed programs can directly reduce child care fees for families.

  • To participate in the new subsidy, licensed programs will need to commit to reducing child care fees for families with children five years of age and younger to an average of $10 per day by 2025-2026 by opting in to the CCFR Subsidy.
  • Funding is provided to licensed programs as a contribution agreement to directly reduce child care fees charged to families.
  • All families with children five years of age and younger registered in a licensed program providing full-time, part-time, and/or out-of-school early learning and child care are entitled to receive the reduction.
  • Participating licensed programs will refund families with children five years of age and younger who were registered in their program from January to March 2022.
  • Upon completion of distribution of the funding to families for fees paid from January to March 2022, licensed programs will need to provide verification that the funds were distributed to families.
  • To ensure that licensed programs receive accurate funding, each program will regularly submit updated documentation and changes in registration to ECE.
  • Programs will be required to continue to keep detailed records of attendance, registration, and CCFR Subsidy details on child care fees charged to families.
  • Licensed programs will receive an administration bonus to assist with costs related to administering the funding.
  • The CCFR Subsidy will be provided to licensed programs based on the NWT’s average child care fees for 2021-2022 and actual registration.
  • The maximum subsidy families using full-day licensed child care can receive is:
    • Infant space (0-23 months) - $530 subsidy
    • Toddler (24-36 months) - $465 subsidy
    • Preschool (3 years to 5 years) - $465 subsidy
    • Out-of-school (5 years and younger) - $165 subsidy
  • Starting in 2022-2023, ECE will make annual adjustments to the maximum fee subsidy.
  • From April 1, 2022 to March 31, 2023, licensed programs must agree to not increase their fees by more than 2.3%. After March 31, 2023, licensed programs may adjust their child care fees annually on or after April 1 of that year at no more than the rate determined by the department unless approved by ECE.