Local boards’ decisions on the council’s direct provision of early childhood education

Publish Date : 28 Jul 2023

The impacted local boards have made their decisions regarding the future of Auckland Council’s Kauri Kids early childhood education (ECE) centres.  

The Devonport-Takapuna, Manurewa, and Ōtara-Papatoetoe local boards have voted to exit council-led delivery of ECE in their communities. Hibiscus and Bays Local Board has also voted to exit council-led delivery of ECE in their communities and confirmed an exit date, from 22 December 2023.  

This means that the Takapuna, Clendon, Allan Brewster and Ōtara centres will withdraw from direct provision of service. Stanmore Bay and East Coast Bays will also withdraw from direct provision of service, effective from 22 December 2023. 

The Howick and Kaipātiki local boards have chosen to retain the service in council facilities for this financial year, while they investigate opportunities to deliver the service via a third-party commercial arrangement. 

Howick, Glenfield, Beach Haven and Birkdale centres will continue the direct provision of ECE services in their board area via a third-party provider and the current service will be funded until 30 June 2024.  

How was this decision made? 

The Annual Budget 2023/2024 allowed for local boards to allocate additional funding if they wished to continue to operate Kauri Kids ECE centres as local services sitting with local boards.  

This means that the matter went to the local board for decision, as part of the standard annual plan process.  

Staff conducted a series of workshops with local boards to provide initial advice regarding the implications of various options for the early childhood education services in their respective board.  

Local boards were given three options: 

  • Fund the council delivered ECE service via their locally driven initiatives operational budgets. 
  • Choose other options to retain the service in their council facilities, such as via a third-party commercial arrangement. 
  • Exit council-led delivery of ECE in their communities. 

Dave Stewart, Auckland Council General Manager, Active Communities says that the council’s focus has been on our people during this period of uncertainty, and it remains our focus as we move into the transition phase. 

“We’re proud of our Kauri Kids service and what our kaimahi delivered. We know our teachers are well-respected and much-loved by the tamariki they care for and the whanau they serve,” says Dave Stewart. 

“Our focus remains the same – on our people. We are committed to continuing to support staff, customers, and the community with a careful and well-thought-out transition plan for all centres and the different options they have chosen.” 

Why is this decision being made? 

There is no legislative or regulatory requirement for Auckland Council to provide an ECE service.  

Based on current enrolment levels, Auckland ratepayers are subsidising approximately $3,000 per enrolled child per annum. This is despite the Ministry of Education subsidy for early childhood education which is paid directly to Auckland Council. 

Auckland Council directly runs a total of 10 ECE’s and these centres are often quite small and do not operate at scale.  

The childcare market in Auckland is well-established with over 1,400 centres, and in some areas the market is saturated or is facing staffing shortfalls that could benefit from provider consolidation.  

Next steps 

For the centres where the local boards have chosen to exit the service, your local ECE will remain operating as per usual until transition plans are agreed. This will include an 8-week notice period for customers. 

Auckland Council will carefully plan the implementation of this change to minimise any impact to parents, children, staff and our community, where possible. 

Our staff plan to support affected families by proactively working with other ECE service providers, local boards, the Ministry of Education and impacted staff to enable as smooth a transition as possible while providing substantial notice. 

For the local boards that are retaining provision of the service during this financial year, funding has now been allocated in the 2023/2024 financial year local board work programme at their recent July 2023 business meetings.  

Back to News