The non-government School Loans Scheme is expanding to support the delivery of universal three-year-old preschool across South Australia.

The $171 million expansion will increase eligibility for preschool infrastructure projects, with rules amended to allow for standalone early childhood education and care projects to be considered – where once they had to be co-located on a school site.

All non-government schools, not-for-profit early childhood education and care providers, as well as associated system authorities are eligible to apply for low-interest government loans between $500,000 and $10 million.

Open until 31 July 2025, the scheme will prioritise infrastructure projects that:

• increase enrolment capacity in areas where there is demand
• support student retention
• and refurbish existing facilities to provide a modern learning experience.

The funding is part of an overall $320 million School Loans Scheme which has already provided $142 million in loans to 22 projects.

The South Australian Government Financing Authority (SAFA) worked with the Office for Early Childhood Development (OECD) and the Department for Education (DfE) to extend eligibility - supporting the delivery of universal three-year-old preschool.

The delivery of three-year-old preschool, which is being introduced progressively across government and non-government preschools from 2026, is one of the key early childhood reform initiatives out of the Royal Commission into Early Childhood Education and Care.

Preschool for three-year-olds is fundamental to achieving the 20-year goal to reduce the rate of South Australian children who are developmentally vulnerable when they start school down from 23.8% to 15%.

Read more about non-government school loans to build or upgrade facilities.