Democratic senators led by Elizabeth Warren accuse the Trump administration of worsening the U.S. childcare crisis through funding freezes and regulatory rollbacks that they say have increased costs and prompted hundreds of daycare closures. The senators highlight a 3.5% rise in daycare and preschool prices to May 2026 and cite more than 400 closures in Oklahoma and over 300 in Indiana. They demand detailed ACF data by 14 October on closures, costs and grant distributions and ask for analysis of the impact of rescinded protections such as the 7% co-payment cap.
Senators Say Trump Administration Has Deepened U.S. Childcare Crisis, Citing Cost Spikes and Hundreds of Closures

Democratic senators led by Senator Elizabeth Warren have accused the Trump administration of aggravating the nation's childcare crisis, warning that funding freezes and regulatory rollbacks are driving up costs and forcing daycare centers to close.
What the Letter Says
In a letter obtained by The Guardian and addressed to Alex Adams, Assistant Secretary at the Administration for Children and Families (ACF), the senators say federal cuts and policy changes to programs such as Head Start and the Child Care and Development Fund are destabilising an already fragile childcare system.
The letter notes that childcare costs rose faster than overall inflation in 2025 and that daycare and preschool prices increased by 3.5% in the year to May 2026. Senators say rising costs for food, supplies, insurance, rent and utilities are forcing providers to choose between raising tuition and shutting down.
Closures and Funding Actions
The senators cite more than 400 daycare closures in Oklahoma since November and more than 300 program closures in Indiana since the previous September, and highlight an ACF decision in January to freeze $2.4 billion in Child Care and Development Fund grants to five states. That freeze was later rescinded after legal challenges, the letter notes, but senators warn a similar action could recur.
The Department of Health and Human Services (HHS) unlawfully froze program funding for grantees mere weeks after President Trump took office — which forced some Head Start programs to temporarily close and left thousands of the country's most vulnerable families uncertain, the letter says.
Regulatory Changes and Potential Impact
Senators also fault an ACF rule finalised in May that rescinded several Biden-era protections, including a federal cap that limited eligible families' childcare co-payments to 7% of income and provisions that required states to pay providers based on enrollment. They warn these changes could raise costs for families and push providers out of business.
The letter raises additional concerns about proposed Head Start changes, such as loosening child-to-teacher ratio rules and rolling back wage and benefits standards for staff — moves the senators say could increase staff turnover and reduce access to high-quality, affordable care.
Information Requested
The senators have asked ACF to provide detailed information by 14 October, including the number of childcare centers that have closed since January 2025, changes in average childcare costs, monthly data on Head Start and Child Care and Development Fund grants, support offered to centers at risk of closure, and an analysis of how the regulatory changes could affect family costs and the number of providers.
The letter also specifically asks whether ACF has estimated how much family expenses would increase if the 7% co-payment cap is removed and how many centers might close as a result.
The letter is signed by Senator Elizabeth Warren and six other Democratic senators: Raphael Warnock, Jeff Merkley, Andy Kim, Peter Welch, Ben Ray Luján and Angela Alsobrooks.
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