Dáil Éireann Debate, Wednesday - 18 January 2023
998. Deputy Kathleen Funchion asked the Minister for Children, Equality, Disability, Integration and Youth if he will confirm the current portion of childcare fees that are paid by families, given the changes made to the national childcare scheme from 2 January 2023; and if he will make a statement on the matter. [1760/23]
View answerSince 2 January, all families accessing registered early learning and childcare receive a minimum hourly subsidy of €1.40 through the National Childcare Scheme (NCS). With the previous minimum hourly subsidy set at €0.50 per hour, this represents an additional €0.90 per hour, or up to €63 per week, off the cost of early learning and childcare.
There are two types of supports available under the Scheme:
- The Universal Subsidy is available to all families with children between 24 weeks and 15 years of age. This subsidy is not means tested and now provides €1.40 per hour towards the cost of a registered childcare place for a maximum of 45 hours per week.
- The Income Assessed subsidy is also available to families with children aged between 24 weeks and 15 years of age. However, the rate awarded will vary depending on the family income, child’s age and educational stage, and the number of children in the family. The maximum available income assessed subsidy, dependent on the aforementioned conditions, is €5.10 per hour or a maximum weekly subsidy of €229.50.
In terms of income, any family who is not already at the maximum hourly subsidy under the NCS (see table below) will have seen some increase in their subsidy. The exact reduction in costs will be unique to each family depending on their individual circumstances, as outlined above, and their early learning and childcare needs.
For income assessed awards, the highest level of subsidy goes to families at or below the reckonable income threshold of €26,000. The level of subsidy then tapers down to the minimum rate of €1.40 as the income increases towards the maximum reckonable income threshold of €60,000. As such, all families with a reckonable income above €26,000 will have seen some level of increase in their award.
Table 1: Maximum Income Assessed Subsidy
|
Child’s age |
Per Hour |
|
24 weeks to 12 months |
€5.10 |
|
12 to 35 months |
€4.35 |
|
3 years or older and not yet in school |
€3.95 |
|
School age (or 6 years to 15 years) |
€3.75 |
Owing to the variance in both the rates awarded, and fees charged by early learning and childcare providers, the exact portion of childcare fees that are paid by families cannot be calculated at this time. The Department expects to receive data in mid-February that will provide a clearer picture of participation and average subsidy rates for the month of January.
The calculations in Budget 2023 were based on fee data from the 20/21 Early Years Sector Profile. Fee data and by extension average co-payment details will not be available until later in 2023.
In the meantime, parents not currently availing of the Scheme may apply online for the subsidy using their MyGovID at ncs.gov.ie. Alternatively, parents may contact the NCS Parent Support Centre on 01 906 8530.
