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Departmental Budgets

Dáil Éireann Debate, Tuesday - 23 May 2023

Tuesday, 23 May 2023

Questions (685, 686)

Kathleen Funchion

Question:

685. Deputy Kathleen Funchion asked the Minister for Children, Equality, Disability, Integration and Youth the amount it cost the State to increase the universal subsidy under the national childcare scheme from 50c to €1.40. [24427/23]

View answer

Kathleen Funchion

Question:

686. Deputy Kathleen Funchion asked the Minister for Children, Equality, Disability, Integration and Youth the amount it cost the State to increase the universal subsidy under the national childcare scheme by 25% for all recipients. [24428/23]

View answer

Written answers

I propose to take Questions Nos. 685 and 686 together.

There are two types of subsidies available under the National Childcare Scheme:

• Universal Subsidies are available to all families with children under 15 years old. This subsidy is not means tested and provides €1.40 per hour towards the cost of a registered childcare place for a maximum of 45 hours per week.

• Income Assessed Subsidies are available to families with children aged between 24 weeks and 15 years. This subsidy is means tested and is calculated based on individual circumstances. Rates vary depending on the level of family income, a child’s age and educational stage, and the number of children in the family.

At Budget time, I allocated a total of €358 million under the National Childcare Scheme (NCS) for 2023. This figure is based on an additional €121 million being made available as a result of the estimated full year costs of a number of amendments to the Scheme:

• The removal of the practice of deducting hours spent in pre-school or school from the overall NCS hours award as of May 2022.

• The increase in the upper age eligibility for the NCS universal subsidy from 3 years to all children under 15 years as of August 2022.

• An increase in the NCS minimum subsidy from €0.50 to €1.40 as of 2nd January 2023.

The table below sets out the funding spent on NCS Universal Subsidies in 2023 to date:

Application Type

Value of Subsidies Paid in 2023

NCS Universal

€34,936,458

Question No. 686 answered with Question No. 685.
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