The plan was mooted as a range of proposals were set out in a mid-term review report which will was unveiled by the Prime Minister and Deputy Prime Minister on Monday 7 January.
However, any more details of how such a proposal would work in practice are not likely to follow until later this month when the Government reports on the Childcare Commission.
The review sets out the direction of policy for the Coalition up until the next election.
It is understood that a major policy announcement from the review will be announced every week for the next 12 weeks in the run-up to the budget.
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