Dáil Éireann Debate, Wednesday - 13 July 2022
410. Deputy Ivana Bacik asked the Minister for Children, Equality, Disability, Integration and Youth if he will provide a breakdown of the current funding streams for childcare and of the additional funding provided in Budget 2022 and expected funding required in 2023 to maintain existing levels of service in tabular form; and if he will make a statement on the matter. [38751/22]
View answerIn Budget 2022, I secured an additional €78m in funding for early learning and care (ELC) and school-age childcare (SAC), bringing the total investment in the sector to €716m in 2022. This will allow my Department to bring forward a substantial and comprehensive package of developments to achieve significant progress on its policy priorities of affordable, high quality, inclusive and sustainable ELC and SAC.
The €716 million investment in ELC and SAC includes an available allocation of €73m for a new core funding stream for providers from September 2022, equivalent to €221 million for a full year.
This funding stream marks the start of a multi-annual investment plan and is part of Government’s commitment to realising the First 5 target of investment of approximately €1 billion by 2028. The new core funding stream introduces a strategic new way of funding the sector and begins to implement the recommendations of the Expert Group to develop a new funding model.
A breakdown of the current funding streams is provided below:
|
Allocation |
2021 |
2022 |
|
B3 |
€ 334.5m |
€ 316.6m |
|
B4 |
€ 214.7m |
€ 208.7m |
|
B5 |
€ 88.7m |
€ 154.3m |
|
B10 |
n/a |
€ 37m |
|
Total |
€ 637.9m |
€ 716.6m |
Some €37m was earmarked for a once-off Transition Fund in 2022. This is currently supporting ELC and SAC services to ensure there are no increases in parental fees in the period leading up to the introduction of the new Core Funding stream, for which some €73m has been made available.
2023 will see a full year of Core Funding, which is expected to provide an additional €148m to ELC and SAC services.
2022 saw a gradual return to normal parental behaviours. As part of the ongoing 2023 Estimates process, officials within my department are currently examining the expected funding required in 2023 to maintain existing levels of service.
