Dáil Éireann Debate, Tuesday - 26 July 2022
1356. Deputy Cian O'Callaghan asked the Minister for Children, Equality, Disability, Integration and Youth if he will increase the capitation payments per child for childcare providers in line with calls from an organisation (details supplied); and if he will make a statement on the matter. [40423/22]
View answerMy Department secured an overall 2022 allocation of €716m, an increase of €78m on the previous year’s allocation.
The 2022 allocation includes €272m for the Early Childhood Care and Education (ECCE) Programme Funding. Funding for the ECCE programme is allocated on a capitation basis that has regard to the unit cost of delivery, taking account of providers’ costs.
The 2022 budget also provides for the introduction of a new Core Funding scheme. 2022 will see up to €73m being made available for Core funding, which equates to €221m in full year costs.
From an ECCE perspective Core Funding is equivalent to an increase of at least 9.5% on the standard capitation. At a minimum, for every ECCE child €78.75 per week is now available (compared to €71.90 previously from ECCE standard capitation and programme support payment combined).
Sessional services with standard capitation, Full Time, Part Time and School Age services will all see substantial increases in funding. Most ECCE services currently in receipt of higher capitation rates will also benefit significantly.
No service will lose out. I have issued a funding guarantee to ensure that no service will receive less in Core Funding that it previously received in higher capitation and programme support payments, if their circumstances remain the same. An estimated 1% of services will be caught by the funding guarantee. All other services will see increases in funding, and most substantial increases in funding.
In the longer term, my Department is committed to increasing sectoral investment by at least €1bn by 2028.
Future investment will, amongst things be informed by a review of ECCE which will commence in the coming months. The review will include consideration of the adequacy of resourcing in respect of ECCE. My Department is in the process of finalising a contract with a preferred bidder for this review.
