Recent Childcare Updates

Jan 29, 2026

By April Ferguson, LCSW-C

Since the start of the new year there have been several new developments regarding child care. Childcare has been a consistent conversation among parents, social workers, child advocates, and the childcare workforce because the costs of care are rising. Without affordable child care, some parents leave the workforce, and some spend more than 7% of their income on care while paying for other necessities. Childcare is plagued with long waitlists, low compensation for workers and some rural communities have few options to access care.

Recent attempts have been made to address the affordability crisis with two states offering massive changes and proposals to childcare access. In November 2025, New Mexico became the first state to offer universal childcare for families. In January 2026, New York revealed efforts to provide universal childcare to children under 5 years old, starting with an increase in child care spending.

Other major headlines about childcare, notably allegations of waste, fraud and abuse in childcare centers in Minnesota, sparked outrage and requests for investigations into the accusations. Shortly after allegations, The U.S. Department of Health and Human Services froze federal dollars for Child Care and Development Fund (CCDF), Social Services Block Grant (SSBG) and Temporary Assistance for Needy Families (TANF) in five states. However, a judge blocked the freeze for 14 days. Without these funds California, Colorado, Illinois, Minnesota and New York, will struggle to provide services to families.

Congress held multiple hearings in response to childcare headlines.

The House Education and Workforce Committee held a hearing and received testimony regarding employee-based childcare and the affordability crisis. Along party lines, Congress members raised concern over employer based childcare due to low workforce wages and the limited capacity for small businesses to develop childcare options for employees, while opposing congress members supported the cross-sector approach to childcare options rather than relying on government for childcare funds. Remainder of the congressional hearings were related to fraud allegations and fraud mitigation in childcare funding.

Social Work Role

Advocates are raising concerns about the focus of the conversation being directed to fraud and abuse allegations and not on the crisis of childcare affordability and accessibility. Social workers can focus on child and family wellbeing and support clients with referrals and case management services if low-income families struggle to find childcare. As lawmakers address this issue, constituents can contact representatives and discuss the value of affordable childcare access. Resources are below.

NASW’s Blueprint of Public Policy Priorities for the 119th Congress, 2025-2026 supports access to affordable child care through investment in Head Start and the expansion of the Child Care and Development Block Grant (CCDBG) and fair compensation and benefits for workers. NASW recognizes the importance of affordable child care in the lives of social workers and the clients we serve.

Resources

Child Care Aware of America
https://www.child careaware.org/invest-in-child-care-2026/#advocacyapprops

First Five Years Fund
https://www.ffyf.org/take-action/

STATE OF PLAY: Child Care Accountability and Oversight
https://www.ffyf.org/resources/2026/01/state-of-play-child-care-accountability-and-oversight/

The Child Care for Every Family Network
What to Know About the Funding Freeze & Other Attacks on Child Care – Child Care For Every Family Network

 

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