Dáil Éireann Debate, Thursday - 24 March 2022
330. Deputy Bernard J. Durkan asked the Minister for Children, Equality, Disability, Integration and Youth the efforts currently in hand to ensure that Ireland can have a national childcare scheme in which the prices paid for childcare are similar to prices paid for childcare elsewhere across the European Union; and if he will make a statement on the matter. [15686/22]
Amharc ar fhreagra331. Deputy Bernard J. Durkan asked the Minister for Children, Equality, Disability, Integration and Youth the plans underway to provide further assistance to families for childcare under the national childcare scheme with particular reference to the financial pressures placed on families due to the cost of childcare; and if he will make a statement on the matter. [15687/22]
Amharc ar fhreagraI propose to take Questions Nos. 330 and 331 together.
The National Childcare Scheme (NCS) provides financial support to help parents meet the cost of childcare and to support better outcomes for children.
There are two types of supports available under the Scheme:
- The Universal Subsidy is available to all families with children under 3 years. It is also available to families with children over 3 years who have not yet qualified for the free preschool (ECCE) programme.
- The Income Assessed Subsidy is available to families with children aged between 24 weeks and 15 years. It is means tested and will be calculated based on individual circumstances. Those on the lowest incomes will receive the highest subsidies.
As part of the monitoring, review and evaluation of the NCS, Frontier Economics was commissioned to undertake a formal review of the first year of the NCS, with the report published in December 2021. The report noted that childcare costs in Ireland have been found to be a significant factor in contributing to low levels of participation in employment, education and training for mothers, particularly for lone parents. The NCS was designed to make childcare more affordable and, in some instances, free.
As part of Budget 2022, I announced a number of changes to the NCS, which will be of significant benefit to many parents. These changes will result in more parents getting additional subsidised hours for early learning and childcare in Tusla registered services by extending the NCS universal subsidy to all children under 15 - benefitting up to 40,000 children.
A further change will remove the practice of deducting hours spent in pre-school or school from the entitlement to NCS subsidised hours, benefitting an estimated 5,000 children.
In addition, I would note the Early Childhood Care and Education (ECCE) programme, mentioned above, is a universal programme available to all children within the eligible age range. The programme is provided for three hours per day, five days per week over 38 weeks, and the programme year runs from September to June. A child must have turned 2 years and 8 months on or before the 31st August of a given programme year in order to be eligible (and cannot turn 5 years and 6 months during the programme year).
Furthermore, from September 2022, a major new Core Funding stream will be introduced. Under Core Funding providers will be supported in meeting their operating costs, including increased costs related to improved quality measures, in return for a commitment that fees to parents will not increase. The commitment not to increase fees will ensure that the full affordability benefits of the ECCE programme and the NCS are felt by parents.
My Department will continue to keep these schemes under review to ensure they meet their objectives and are in line with international best practice. In this regard, I would note a 12 month review of ECCE will commence this year which will involve an international comparison and the three year review of the NCS will commence at the end of 2022.
