The National Childcare Scheme (NCS), the pathway to quality, accessible, affordable Early Learning and Care and School-Age Childcare went live in November 2019.
It is the first ever statutory entitlement to financial support for childcare. Through this entitlement, the NCS aims to improve children's outcomes, support lifelong learning, reduce child poverty and tangibly reduce the cost of quality childcare for thousands of families across Ireland.
The introduction of the NCS aims to removed the administrative burden from childcare providers of applying for childcare supports on a parent’s behalf. Parents now apply to the Scheme directly, and only approach childcare providers once they have completed their application and have a CHICK to register.
The scheme also integrates key financial and governance controls to ensure we are maximising the benefits of public monies and that the investment is following the child.
Over 2,900 childcare providers are currently contracted to provide the National Childcare Scheme. I am aware of the challenges faced by some of those providers in changing to a new scheme and a new IT system. Pobal as scheme administrator have provided comprehensive training and information resources and will continue to support providers through this change process.
My Department will continue to examine the scheme including considering administrative efficiencies where these are consistent with overall policy objectives.
With regard to the issue of shortage of childcare places, capacity in the sector has grown by about 60% over the last 5 years, the average service size has grown from 33 in 2014, to 47 in 2019.
Following the reopening of the sector this summer, while some childcare settings may have reduced capacity depending on their layout, there are no required capacity reductions for the sector, and most childcare providers should be able to comply with the public health advice with no or little reduction in the number of places provided. Overall, there is no significant variation in the number of childcare services operating in 2020 when compared with 2019.
A package of supports worth nearly €300m was introduced in July to assist the sector to reopen, recognising the importance of the sector for children’s positive development and in terms of supporting the economy to return to normal.
The Temporary Wage Subsidy Childcare Scheme (TWSCS) was introduced to sustain the sector during the closure necessitated by COVID-19, building on top of the Wider Revenue-operated Temporary Wage Subsidy Scheme. Over 3,800 childcare providers signed up to receive this support (approximately 84% of the sector).
Over 3,800 childcare providers also applied for the Reopening Support Payment this year, which was introduced to support childcare providers in meeting the reopening guidelines necessitated by COVID-19, and to meet additional staffing needs.
