The COVID-19 pandemic is being blamed for a steep drop in enrolment at many daycare centres, leaving many on the verge of closing.
A new report on the cost of child care in Canada finds that daycare centres had on average 10 per cent fewer children in the fall of 2020 than in February of last year, before the pandemic began.
The report from the Canadian Centre for Policy Alternatives says the drop in enrolment has dried up revenue that daycares rely on, leaving many hanging on by their financial fingernails.
The report's co-author, David Macdonald, says losing spaces could become a drag on the economy, and therefore the country's recovery, as parents are unable to work.