Earlier this week Ararat Early Learning Centre owner/director Kerri Turner said she was faced with making employees redundant without the support after her client base dropped to 25 per cent its usual number.

Now she said she will be able to keep the business afloat.

"It's awesome we're going to be getting some money," she said.

Under the plan, the Government will pay 50 per cent of a business' hourly fee up to the existing hourly rate cap based on a point in time before parents started withdrawing their children in large numbers, and waive fees for parents.

This will only apply to services that remain open and do not charge families for care.

The funding will apply from April 6 based on the number of children who were in care during the fortnight leading into March 2, whether or not they are attending services.

The plan will assist families continuing to send their children to childcare, who are often essential workers.

It also provides funding certainty to early childhood education and care services.

Although the amount the centre will get is less than it would be during normal operations, it can also be combined with the JobKeeper payment that was announced earlier this week.

"Now everybody in childcare is actually eligible for the JobKeeper payment," she said.

"Before, we had to have lost 30 per cent of the income (to qualify)."

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