'Modest' childcare budget initiatives will save some families €885 a year
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Thousands of parents will pay less in childcare next year but the savings will be “modest”, the children’s minister has said.
In the budget, it was announced that Government funding in early learning and childcare will reach €716m next year, including a new €69m funding stream for providers to ensure the sustainability of the sector.
In return for the funding, there will be a commitment from providers not to increase parental fees.
There will also be an extension of the university subsidy available under the National Childcare Scheme (NCS) to all children under 15, which offsets fees.
Speaking at a briefing today, Roderic O’Gorman acknowledged the impact of the initiative was modest, but said parents would experience some savings.
If a family has an eight-year-old attending school-aged child care, they will experience savings of €30 a month, or €360 a year, he said.
For a family with a child attending Early Childhood Care and Education (ECCE) and after care, they will save €60 a month in term time, €90 out of term time, coming to a total of €885 for year.
He added that this is the “first really important step” in achieving that.
Mr O’Gorman said there had been mixed reaction to the announcement, but added that providers have recognised the “very substantial long-term investment” planned for the sector following on from budget 2022.
“We believe we will get the support from the sector for this," he added.
Mr O’Gorman said the department has a “strong sense of fees” across the sector at an individual level, and would be able to determine if providers were increasing parental fees in contravention of the agreement.
On childminders, he said it is his department’s “core objective” that they will be able to access the NCS.
There is a childminder’s action plan currently in place which runs until 2028, which seeks to provide childminders with the supports to register with Tusla, which is a key requirement to accessing the scheme.
The minister also announced funding of €4.5m to manage an action plan in response to the final report of the mother and baby homes commission of investigation.
This funding will be separate to a redress scheme, which will be finalised after the budget, he added.