Dáil Éireann Debate, Tuesday - 20 February 2024
504. Deputy Francis Noel Duffy asked the Minister for Children, Equality, Disability, Integration and Youth how many crèches have withdrawn from the core funding scheme nationwide; and if he will make a statement on the matter. [7921/24]
Amharc ar fhreagraInvestment in early learning and childcare is at unprecedented levels with public funding for the first time reaching more than €1 billion in 2023 for early learning and childcare – a clear demonstration from Government of the value of the sector.
Core Funding is in operation since 15 September 2022 and has achieved very significant success in terms of the high levels of participation. With 95% participation in year 1 and to date, 94% or over 4,300 providers have signed up for Core Funding Year 2, with applications still open. There are officially more services contracted for Core Funding year 2 than there were at the peak of Core Funding year 1.
Participation in Core Funding is optional but it remains open to all registered providers subject to their agreement to the terms and conditions of the funding.
Core Funding has increased by 11% to reach €287 million for year 2 of the scheme, providing a sustainable platform for investment with increases for all services.
Budget 2024 allocated an additional €37.4m to Core Funding. This increase on the 2023 allocation will support continued implementation of the scheme for the second programme year (September 2023 to August 2024) and into the third programme year from September 2024.
In Core Funding Programme Year 1, ONE Service, crèche(s) has withdrawn from the core funding scheme nationwide.
In Core Funding Programme Year 2, THREE Services, crèches have withdrawn from the core funding scheme nationwide.
The above figures account for services who had an active contract during the relevant programme call (i.e. between 14th September 2022 – 31st August 2023 for year 1, 1st September 2023 – present for year 2) and have an application status of withdrawn – meaning they withdrew from the scheme and remained open.
It is a matter for providers to decide whether they wish to withdraw from the Core Funding scheme, the significant financial supports it provides to providers and the certainty it provides to parents through the associated fee freeze.”
However, I am confident that given the level of investment and associated supports, services should not need to take this step.
There is extensive engagement with provider representatives and providers of all types, via various specific consultation activities and through various fora, including through the Early Learning and Childcare Stakeholder Forum.
In addition, special supports are available from my Department where a service is experiencing financial difficulty or has concerns about their viability, accessed through local City or County Childcare Committee (CCC). This support can take the form of assisting services with interpreting analysis of staff ratios and cash flow, financial support for Partner Services, as well as more specialised advice and support appropriate to individual circumstances.
I strongly encourage services to avail of these case management supports as an alternative to withdrawing from Core Funding.
