The incident was reported to staff at Bella’s Wonderland in Southport on July 6.
The child’s mother called police and posted online that she was “in shock and incredibly concerned” not just for her own children but “every family that walks through those doors”.
In a statement to 9News, Bella’s Wonderland said the centre was “aware of a concerning incident involving a knife” and confirmed management has “reviewed CCTV footage”.
The company said the “safety and wellbeing of the children are our highest priority”.
Despite reviewing the CCTV, police have been unable to identify how the knife got inside the play structure and said there were no further avenues of investigation.