SINGAPORE – After two unsuccessful bids to join the government-supported Partner Operator (POP) scheme, Kids and Kins Child Care Centre is hoping a new grant announced in August could eventually offer it another way in.
The private pre-school in Ang Mo Kio, which has been operating since 1989, applied for two rounds of POP scheme. It reached the final stage both times, but was not selected.
Catherine Ong, its director of operations, said the centre was given little indication of how it could improve its chances in future applications.
The centre, which charges $1,130 a month before GST and subsidies, is among some private operators now watching as the Early Childhood Development Agency (ECDA) works out details of a new grant to help eligible pre-school operators that wish to join the government-supported network.
Senior Minister of State for Social and Family Development Goh Pei Ming announced the grant on Aug 28, saying it was being developed in consultation with the pre-school sector. More details are expected later in 2026.
“Not all private operators will come on board, but we hope to involve a good number of them,” Goh had said.
For private operators like Kids and Kins, the possibility of receiving government support has become more pressing after Prime Minister Lawrence Wong said at the National Day Rally on Aug 23 that fees at government-supported pre-schools would be cut sharply over the next few years.
By 2030, full-day childcare fees will eventually fall to $150 a month and infant-care fees to $300 a month. This will start progressively from 2028.
Ong said Kids and Kins has been struggling with rising costs and lower demand in an ageing estate, while competing with government-supported centres that charge substantially less.
Once the latest fee cuts are fully implemented, the difference could be around $1,000 a month for a child attending Kids and Kins instead of a government-supported centre, she said.
“The big fee drops announced would simply phase us out of the competition completely,” she said.
Kids and Kins intends to try to join the government-supported network again, but Ong is concerned that smaller operators may not meet the criteria for the new grant.
She said: “There are many smaller and even single operators who are fully able to support the Government’s aim to provide quality childcare service, and these smaller operators provide quality but at the same time diversity to the local pre-school sector.”
Another private operator, Creative O Preschoolers’ Bay in Jurong East, also previously tried unsuccessfully to become a POP during the last round of applications.
Its founder Tan Beng Luan hopes the grant could help private operators with costs such as recruiting staff and paying more competitive salaries.
She is also seeking clarity on whether factors such as a centre’s size will determine eligibility, and whether the grant could support operators until they have another opportunity to apply for the POP scheme.
Founder of Sail Playhouse, Chua Pei Lin, said ECDA had told the centre that applicants were evaluated on criteria such as quality, financial sustainability and market demand. But this response was too general for the centre to understand why it was not chosen in the last round.
More clarity would help operators identify where they could improve ahead of future applications, she said.
The Association of Early Childhood and Training Services (ASSETS), which represents private operators, welcomed the new grant but also called for greater clarity on assessment criteria and what operators would need to change to qualify.
Its president Susan Loke suggested that operators which are not yet ready could undergo a readiness assessment, with ECDA identifying areas for improvement and giving them time to work towards the required standards.
“We also hope that the framework will be accessible to smaller and medium-sized operators that have demonstrated good quality and sound operations,” she said.
In response to queries, MSF said on Aug 28 there are currently no plans to appoint more operators under the current POP 3.0 term, which runs from 2026 to 2030.
It said ECDA assessed applicants on factors including their track record, financial sustainability, public accessibility of centres and local pre-school demand.
Government-supported pre-schools account for a substantial share of enrolment in Singapore.
More than 70 per cent of pre-schoolers were enrolled in government-supported pre-schools in 2025, MSF said. This is compared with 80 per cent of government-supported capacity available.
MSF said parents may choose different pre-school options depending on their families’ needs and preferences.
But as the network of government-supported operators expands, the proportion of children in government-supported pre-schools could grow further, said observers like Cheong Su Fen, founder of pre-school consultancy social enterprise Preschool Market.
It is too early to say how quickly the expansion will be or what the eventual share might be, she said.
For families, greater access to government-supported pre-schools would mean more affordable options and greater certainty over a recurring cost of raising children, she said.
But it could also put more pressure on operators outside the subsidised system.
Sum Chee Wah, who heads the Master of Early Childhood Education programme at the Singapore University of Social Sciences, said smaller operators lack the economies of scale of larger players and are likely to struggle to compete if they remain unsubsidised.
They could consider offering niche programmes or joining forces with other operators to gain scale, she added.
Cheong said the sector could see more consolidation, partnerships or other arrangements that allow smaller operators to share resources.
But she said consolidation should not be viewed as the only route to sustainability.
“There should still be room for smaller operators that have a clear identity, strong pedagogy, close community relationships or a distinctive educational approach,” she said.
Fees not the only consideration for parents
While lower fees are helpful, parents said price is not the only consideration when choosing a pre-school.
Shahrin Iskandar, 31, a community manager, and his wife both work full-time and send their 16-month-old daughter to a government-supported infant-care centre. They currently pay about $500 a month after subsidies.
Shahrin said the upcoming fee cuts give parents some reassurance that raising a family will become a little more manageable.
But location remains the most important factor for him. The family is willing to pay slightly more for a centre that is significantly more convenient for their daily routine, he said.
Tammy Lee, 28, who owns home nail salon The Nails Palette, has an eight-month-old baby cared for by a domestic helper.
While she considers the $150 childcare fee affordable, Lee said the quality of care would be her priority. She plans to enrol her child in a playgroup but remains undecided.
She is currently leaning towards a private operator because she believes smaller classes and lower teacher-child ratios could mean more attention for each child.
Such preferences could leave room for private operators with a distinct proposition, observers said.
Cheong said affordability should not mean that every pre-school has to “look or feel the same”.
The early years differ from formal schooling, and there is value in retaining different pedagogies, philosophies, learning environments and approaches to working with families, she said.
Larger operators can offer scale, consistency and resources, while smaller operators can contribute niche expertise, innovation and close community ties.
“If the sector becomes too uniform, what we may lose is not simply the number of operators, but some of the diversity, experimentation and innovation that have contributed to our early childhood landscape,” she said.
Not all private pre-schools, however, want to join the government-supported network.
Adventure Tree, where full-day childcare fees start at $1,700 a month and infant-care fees at $2,200, said it has chosen to remain outside the POP scheme.
Its director, Morgane Tomassone, said competing against a $150 government-supported childcare fee on price would be unrealistic, particularly when costs such as rent and manpower are rising.
Instead, it is banking on parents who are willing to pay more for smaller classes, lower teacher-child ratios, continuity with teachers, more individual attention and outdoor space.
“What it does is sharpen the question every private operator has to answer for parents: why pay more?” she said.
Pebble Place, another pre-school, said being small and independent was “a deliberate design, not an accident of scale”.
It said families choose the pre-school for its approach to learning rather than its price point, although it acknowledged that lower fees would draw some families away.
For Cheong, a healthy pre-school sector should not require Singapore to choose between affordability and variety.
“A healthy pre-school ecosystem is one where affordability gives families access, quality gives parents confidence, and diversity gives families meaningful choices,” she said.