For an approved provider, non-compliance costs money in five ways. Penalties: the most serious National Law offences carry maximums of $34,200 for an individual and $172,200 for a company, and ignoring a compliance notice carries up to $103,200 for a company. Funding: since 3 August 2025 the Department of Education can impose conditions on, suspend or cancel Child Care Subsidy approval on safety and quality grounds. Reputation: enforcement action from the past 2 years appears on StartingBlocks.gov.au, where families compare services. Operations: conditions, staff suspension directions, and suspension or cancellation of the service approval. Time: responding to notices, show cause processes and reassessment. This page sets the figures side by side.
What a compliance failure can cost a childcare provider: National Law penalties, enforcement notices, Child Care Subsidy sanctions, published enforcement and the rating, set against what prevention costs.
| Offence | Section | Individual | Company or other |
|---|---|---|---|
| Children not adequately supervised | s 165 | $34,200 | $172,200 |
| Not protecting children from harm and hazards | s 167 | $34,200 | $172,200 |
| Out of ratio or educators not qualified for the role | s 169 | $34,200 | $172,200 |
| No nominated supervisor | s 161 | $17,100 | $86,100 |
| No responsible person present (centre-based) | s 162 | $17,100 | $86,100 |
| Program not based on an approved learning framework | s 168 | $13,500 | $68,700 |
These are maximum penalties a court can impose; many offences also bind the nominated supervisor, and some can be dealt with by infringement notice. The full table is in approved provider obligations.
| Tool | Section | If not complied with (individual / other) |
|---|---|---|
| Compliance direction (breach of a prescribed regulation, at least 14 days to comply) | s 176 | $6,600 / $34,200 |
| Compliance notice (breach of any provision, at least 14 days) | s 177 | $20,400 / $103,200 |
| Emergency action notice (immediate risk, at most 14 days) | s 179 | $20,400 / $103,200 |
| Suspension or supervision direction for a staff member or nominated supervisor | s 178A to 178C | $20,400 / $103,200 |
| Training direction for a nominated supervisor, staff member or volunteer | s 178D, 178E | $20,400 (individual) |
| Engaging a person under a prohibition notice, knowing or when you ought to know | s 188 | $68,700 / $344,700 |
The regulator can also suspend or cancel the service approval (ss 70 to 79). See compliance notices and enforcement.
Since 3 August 2025, the Department of Education can impose conditions on, suspend or cancel a provider’s Child Care Subsidy approval, or refuse a new service, where quality and safety considerations are not met. Those considerations include NQS ratings and improvement, serious incidents, complaints and breaches of safety laws. For most services, losing CCS approval is a larger cost than any fine. See Child Care Subsidy sanctions.
See how families check a rating and compliance history.
Most of the breaches behind these figures are routine: ratio gaps at the edges of the day, out-of-date policies, late notifications, missing records. See common compliance breaches. Catching them costs time and a system:
No tool removes the risk: compliance depends on practice in the rooms, and the regulatory authority decides it.
Under the National Law, the highest maximum penalties for an approved provider are $34,200 for an individual and $172,200 for a company, for offences such as inadequate supervision (s 165) and failing to protect children from harm (s 167). Engaging a person under a prohibition notice carries up to $344,700 for a provider that is not an individual.
Yes. Since 3 August 2025 the Department of Education can impose conditions on, suspend or cancel CCS approval where quality and safety considerations, including NQS ratings, serious incidents and breaches of safety laws, are not met.
Yes. StartingBlocks.gov.au shows enforcement action from the past 2 years, and state regulators publish registers of enforcement actions.
WIDEN Law answers National Quality Framework questions with inline citations to the National Law, the Regulations and the NQS, so you can check the source provision yourself.
14-day free trial, no card →This page is a research summary, not legal or compliance advice. It is written in our own words from the sources linked on the page; confirm the position with your regulatory authority before relying on it for a compliance decision.