From vision to viability: Funding requirements for effective Early Childhood Hubs
This report explores viable models and cost structures for Early Childhood Hubs that meet the needs of children, families and communities, while ensuring economic sustainability.
Early Childhood Hubs (ECHs) are places where children and families can access a range of services such as early learning programs, family support, health, allied health and social services. They can also include places for families to meet and socialise in an informal setting.
Evidence demonstrates that ECH models play a pivotal role in supporting children and families to thrive, especially those experiencing socioeconomic disadvantage. Over the past five years, SVA and our partners have conducted extensive research into ECHs: their potential, current landscape and unmet need. However, detailed cost analysis of the components required to operate an ECH, including services, infrastructure, and the integration ‘glue’ has remained limited.
This research addresses that gap by exploring viable models and cost structures for ECHs that meet the needs of children, families and communities, while ensuring economic sustainability. The findings aim to inform future funding models that enable scalable, sustainable, and responsive ECHs.
Engagement with a diverse set of ECH providers — including Aboriginal and Torres Strait Islander Community Controlled Organisations (ACCOs), non-governmental organisations, government-run models, and collaborative partnerships — revealed differing requirements and cost considerations across core ECH components. The report unpacks the diverse income sources, costing components of ECHs, and the challenges and benefits of different financial scenarios. Interview participants contributed critical perspectives that enriched both the qualitative and quantitative findings.
A ‘building block’ approach was developed to estimate the cost of various ECH components. This framework enables ECH providers to generate indicative costings tailored to specific community needs, community size, infrastructure and service requirements, location-based factors such as urban, regional or rural settings, and price indexation. The report also provides further detail on in-house and partnered delivery models and identifies respective conditions for success.
The report outlines key findings and recommendations for developing sustainable, impactful and effective ECHs. It highlights the need to shift from short-term fragmented, multi-channel funding to secure, government backed, long-term funding that recognises the ‘glue’ and early childhood education and care (ECEC) as essential components of the ECH model.
Read the summary brief
