We will go back to Question No. 3 because Deputy Seamus Healy has arrived.
Priority Questions (Resumed)
Child Care Services Provision
Seamus Healy
Ceist:3. Deputy Seamus Healy asked the Minister for Children and Youth Affairs if, in view of the fact that, effective from 2 July 2015, single parents of children over seven years of age will be required to participate in activation measures outside the home in order to receive the full jobseeker's transition payment, he will provide free child care outside school hours and in school holiday periods for the children affected as a matter of urgency; and if he will make a statement on the matter. [14646/15]
This question relates to the one-parent family payment. As the Deputy knows, this is, in the first instance, a matter for the Department of Social Protection. However, my Department has been working closely with that Department to develop a range of targeted child care support programmes for low-income families, parents returning to the workforce and parents engaging in training and-or employment initiatives. Among these targeted child care support programmes is the after-school childcare programme which provides after-school care for primary school children of eligible parents for a period of 52 weeks. The programme contributes €40 per week for an after-school place or €80 per week in situations where a pick-up service is provided to take the child from school to the child care provider. The programme also provides a full day care rate of €105 per week, for a maximum of ten weeks, to cater for school holiday periods. In all cases, the maximum fee payable by parents is €15 per week per child. The community child care subvention programme and child care education and training support programme also provide a range of child care supports for eligible parents, including after-school care.
These targeted child care support programmes, together with the universal early childhood care and education programme which provides a free preschool year for all children in the age category three years and two months to four years and seven months, represent an overall annual investment of €260 million and support more than 100,000 children each year. This level of investment has been maintained, despite the difficult budgetary position in recent years. To ensure all of the benefits of this and future investment are fully realised, it must be evidence-based and strategically co-ordinated. Accordingly, I have established an interdepartmental group to develop a coherent whole-of-government approach to investment in early years and after-school care and education.
This group is considering the needs of children in their early years as well as the needs of school-going children. The group, which is still in the early stages of its deliberations, will submit its final report to Government in June 2015.
Question No. 3 relates to the one-parent family payment and the situation after 2 July next when the payment is lost once the youngest child reaches seven years of age. Prior to any such change being introduced, the Government promised that Scandinavian style child care would be available but that has not happened. Single parents will be required to be available for work after 2 July this year, once their youngest child is over seven years of age. Child care services will need to be put in place on a full-time basis, including after-school services. What plans does the Department have to do that?
The short answer to the question is that I am awaiting the outcome of the interdepartmental group's deliberations and it would be premature to make any statement about it before then. This is a broadly based group of interdepartmental individuals who have engaged in a number of open consultation days with many of the stakeholders in the area. Shortly, an online questionnaire will be issued for both parents and providers to feed into this process.
I will now outline to the House several child care schemes that are currently in place. The child care education and training support scheme programme offers €145 per week towards the cost of a full day child care place. It also provides part-time and after-school places. The programme has a budget of €17 million per year and caters for approximately 8,000 children annually.
The Government is putting the cart before the horse. As I said already, the Government promised child care services comparable to those available in Scandinavia prior to this change taking effect. However, from 2 July next, single parents will be required to be available for job activation measures with no child care services being made available to them. This is definitely putting the cart before the horse. Will the change due to take effect from 2 July be deferred, given that the services are not in place to support it?
I respectfully disagree with the Deputy's contention that the Government is putting the cart before the horse. I have already described the child care education and training support programme and the Deputy's contention that there are no services available is simply not true. There is also the after school child care programme, which is designed to support low-income and unemployed people to take up a job, increase their days of employment or take up a place on a Department of Social Protection employment programme. It provides after school care for primary school children of eligible parents for a period of 52 weeks. The programme contributes €40 per week for an after-school place or €80 per week in situations where a pick-up service is available to take the child from school to the child care provider. The programme also provides a full day care rate of €105 per week for a maximum of ten weeks to cater for school holiday periods. In all cases the maximum fee payable by parents is €15 per week. I do not have time to go into detail on all of the other services available, but there is also a community employment child care programme and a community child care subvention programme.
Deputy Healy would have to agree that in the past we saw ample examples of Government throwing money at problems but not fixing them.
In this instance, we want a properly costed and analysed plan that will give the Government access to a range of options that will allow it to provide the greatest benefits for parents and children from the money it collects from taxpayers and spends in this area.
Early Childhood Care and Education
Seamus Healy
Ceist:5. Deputy Seamus Healy asked the Minister for Children and Youth Affairs if he will increase the capitation fee payable under the early childhood care and education scheme to the level required to provide the service; if he will reinstate the 2011 level of capitation as an interim measure; and if he will make a statement on the matter. [14647/15]
This question relates to the level of funding available to child care facilities, particularly those which are community based. The level of such funding is simply not adequate to allow such facilities to provide services.
The early childhood care and education programme, ECCE, provides a free preschool year to all eligible children in the age range three years and two months to four years and seven months before they commence primary school. A standard capitation fee of €62.50 per week per eligible child is paid to participating child care services. A higher capitation fee of €73 per week is paid per eligible child to services with more highly qualified staff. In 2012 it was necessary to reduce the level of capitation provided under the ECCE programme in order to ensure that the Department's spending remained within the restricted limits set by Government following the severe downturn in the economy. The Government succeeded, despite the difficult budgetary situation, in maintaining the preschool year on a universal and free basis. Annual funding of more than €170 million continues to be provided and some 67,000 children benefit each year from the programme.
Restoring capitation payments to pre-2012 levels would cost in the region of €5 million annually. While we have made considerable progress in correcting the overall budgetary situation, the funding available to my Department does not allow me to increase capitation payments at present. I have indicated that if resources become available to my Department, I will consider the scope for increasing the level of payments. However, I want to consider the question of appropriate supports for child care in a wider context. It is crucial that we develop a coherent whole-of-government approach to investment in child care services. To ensure that all the benefits of our complete range of child care investments are fully realised, future public investment in child care must be evidence based and strategically co-ordinated. I have established an interdepartmental group to examine the provision right across the zero to six age group, as well as to consider the after-school needs of older school-going children. I have asked the group to report to me before the end of June.
Anybody currently involved with child care facilities, particularly those which are community based, knows that the funding available is simply not adequate in order to facilitate the provision of services. Many not-for-profit community child care facilities throughout the country are in serious financial difficulty and require additional funding. A nod towards the existence of this problem would be the reinstatement of capitation payments to the previous level. In light of the recovery about which we have been hearing every hour of every day in recent months, surely this area is the one in which we should start reinstating what previously obtained. The Minister referred to the need for future investment to be evidence based. There is clear evidence to show that investing money in educating young children gives rise to huge payback. Will the Minister reinstate the capitation rate which obtained in 2011?
I am pleased the Deputy and I agree on one matter, namely, that the ECCE programme offers good value for money and is critically important. I also agree with him that the investment of money, resources and personnel in educating children in the early years brings about the greatest return for such children and for society in general. There is no doubt about that. I further agree with the Deputy that the area to which he refers should be afforded greater priority as more funds become available. I refer here to child care, particularly that which relates to the early years. I am also concerned with supporting parents. If we do not support parents, then we cannot support children.
On funding, I have a budget for the year. Much and all though I might like it to be the case, I do not have additional funds available to allow me to increase the rate of capitation.
I have made it clear on numerous occasions that it is a priority for me.
Will the Minister indicate whether he and the Minister for Finance will set the date by which the capitation rate will be increased in the context of the famous spring statement that is supposed to issue shortly? Anybody involved in this area, particularly at community or not-for-profit level, knows that there is now a serious crisis. Many of these centres are experiencing severe financial difficulties.
I will actually be having that chat with the Minister for Public Expenditure and Reform and look forward to speaking with him as we approach the budget. I know that he is interested in this issue and that he is as concerned as I am about the well-being of children who are our future.
In respect of the scheme, the Deputy must accept that during the worst recession and darkest fiscal fiasco the country had ever endured we maintained the programmes and supported many of these providers through that difficult period. Had the Government not provided that support, many of the providers would not now be in business.
If something is not done soon, they will not be in business much longer.
I did not interrupt the Deputy. The work they do is invaluable and they are trained to a high standard. We want to continue supporting that work. One of the ways we provided support was through putting in place a learner fund to support and fund people in attaining a higher level of training. All of these matters will be considered by the interdepartmental group and the Government will be given a menu of options that will be properly analysed, evidence based and costed.