Private Pre-school Education Providers Operating from Subsidised Rental Spaces

Mr Yee Jenn Jong asked the Acting Minister for Community Development, Youth and Sports (a) whether the arrangement to allow a private pre-school education provider to manage a childcare centre in Bishan East on void deck space designated for non-profit childcare operations is consistent with the Ministry's objectives in providing such spaces at subsidised rents; and (b) whether the Ministry will consider allowing the private pre-school education providers to operate on these spaces subject to their school fees being pegged to the median fee of non-profit operators or other appropriate controls of their fee structure.

Mr Chan Chun Sing: The pre-school education provider that Mr Yee is referring to is the Hampton Pre-School located in Bishan East. This childcare centre is operated by the PAP Community Foundation (PCF), which is a non-profit organisation. In operating the centre, PCF collaborates with Etonhouse, a private pre-school operator. Etonhouse provides support on the centre's programme delivery, classroom set-up and pedagogy.

The centre currently charges a fee of $728 for full-day care, which is below the industry-wide median fee for such programmes. We see it as an example of a useful collaboration between the private and people sectors to provide quality pre-school education and care at reasonable fees in the heartlands.

The objective of providing subsidised space in HDB void decks is to help operators keep childcare fees affordable, particularly for children from lower income or disadvantaged backgrounds. For this reason, the scheme is currently limited to non-profit operators. Non-profits that receive the subsidies have to meet conditions set by the Government. These conditions include ensuring that their fees are kept affordable for the majority of Singaporean families. The conditions apply regardless whether the non-profits operate the centres on their own or collaborate with a private sector player.

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The arrangement has worked well so far, as non-profit centres' fees have generally remained below the industry-wide median fee. We regularly review our schemes, and will take note of suggestions and feedback, including that of Mr Yee, in our future reviews.