Advocates are warning that families in Alberta could face the risk of losing access to licensed preschool programs if changes are not made to the province’s current child care funding model. According to a survey conducted by the Association of Canadian Early Learning Programs (ACE), a significant number of preschool operators in Alberta are considering shutting down their schools in the upcoming school year. The survey results, while not representing the entire preschool sector, indicate that many operators are experiencing a decline in enrollment.
Krystal Churcher, a preschool owner in Fort McMurray and the chair of ACE, expressed frustration and sadness over the potential closure of preschool programs that communities rely on. She highlighted the long-standing investments made by operators to provide families with preschool options.
The funding model in Alberta currently favors daycare programs by offering full-time and part-time funding capped at $15 a day for parents, amounting to $326.25 monthly for full-time attendance. In contrast, licensed preschools have the flexibility to set their own fees, typically ranging from $160 to $300 per month based on the child’s age and part-time attendance. Parents can receive a discount of up to $100 per month per enrolled child on these fees.
The disparity in funding between preschools and daycares has led to a situation where parents are incentivized to choose daycare programs due to lower fees. Churcher emphasized that preschools provide structured learning programs to prepare children for school but struggle to attract enrolment without sufficient demand.
Both preschools and daycare programs in Alberta are licensed under the Early Learning and Child Care Act, contributing to the province’s space targets under national agreements. Alissa Donaldson, the executive director of North Glenora Playschool, expressed concerns about the challenges faced by preschools following the introduction of the child care affordability grant in April 2025, which replaced subsidies for low-income families with a flat fee structure.
The Ministry of Education and Childcare in Alberta acknowledged the significant changes in the child care sector and emphasized the need for a flexible system that supports children’s development. The government is working towards negotiating a long-term agreement with Canada to ensure a sustainable early learning and child care system.
Churcher called for a level playing field in the funding model to support the preschool industry effectively. She believes that a simple adjustment in how spaces are recognized under the affordability grant could have a significant positive impact on the industry.