The Government is setting aside $40 million over the next five years to help small and mid-sized pre-school operators setting up in high-demand areas to defray their infrastructure costs. The funds will also go to a new teaching and learning resources grant.

Operators in commercial premises in high-demand areas such as Punggol will have subsidies of 30 to 60 per cent of rental costs. Rent in commercial premises is higher than in Housing Board (HDB) void deck premises. Minister for Social and Family Development Chan Chun Sing announced this new fund during a visit to Just Kids Learning Place at Taman Jurong on Tuesday morning.

To give kindergarten operators the flexibility to provide full-day childcare places in high demand areas, 20 to 50 per cent of the development cost will also be subsidised, to defray the conversion cost of premises.

A new teaching and learning resources grant of up to $4,000 per year, for materials and equipment which support children's holistic development, was also launched for these operators.