Childcare costs are expected to spike as federal aid comes to an end.
According to a Bureau of Labor Statistics July report, childcare costs are outpacing inflation. The average price of daycare and preschool rose 6% in July compared to last year. This comes on top of a 3.2% rise in prices in the same month and another 3% price increase in June.
The National Association for the Education of Young Children reports that 43% of childcare centers and 37% of family childcare providers will be forced to raise their tuition once federal grants end at the end of September.
Meanwhile, 3 million children are expected to lose access to childcare nationwide.