The Business Council has come out in support of the federal government's support for users of child care.

The government’s child care changes are a crucial step to fixing the barriers to women who want to get back to work and boosting economic growth, Business Council chief executive Jennifer Westacott said.

“This doesn’t just help make a fairer society, it’s also an economic imperative.

“With Australia’s population growing at its slowest rate since World War I, lifting female participation and making the most of our homegrown talent has never been more important.

“Today’s announcement will make a huge difference to many of the 90,000 people across Australia who said they weren’t in the workforce last year because of the high cost of child care.

“These changes aren’t just about giving women a chance to get back to work. Smoothing some of the financial cliffs means more people can work to their full potential and advance in their chosen fields without being punished by costs when they get even a modest pay rise.

“This is a welcome step towards fixing some of the financial cliffs and disincentives that stop women working to their full potential and hold back our economic growth.

“This is good for mums and dads, good for businesses and good for the economy.

“We look forward to working with the government to continuously improve our child care and paid parental leave system so that women can get back to work, families have more flexibility and to make our economy more productive.”