Kathleen Funchion (Carlow-Kilkenny, Sinn Fein)
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712. To ask the Minister for Children, Equality, Disability, Integration and Youth the estimated first- and full-year cost of increasing the ECCE capitation grant by 10%; and if he will make a statement on the matter. [24957/23]

Roderic O'Gorman (Dublin West, Green Party)
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The ECCE scheme is a universal programme which provides 2 years of free preschool to children in the eligible age range of 2 years and 8 months to 5 years and 6 months. My Department funds private early learning and care service providers to provide the ECCE programme at a standard rate of €69 per week per child attending the ECCE programme.

Under the new Core Funding scheme, where a service employs an early years graduate as the ECCE room lead, a higher rate of at least €78.75 per child per week will be available to the service.

To calculate the first year cost, officials in my Department used the ECCE allocation for August 2023 to December 2023 which is €107 million. Using this allocation the estimated first year cost of increasing ECCE capitation by 10% would be €10.7 million.

In calculating the full year cost, officials in my Department used the total budget allocation for the ECCE scheme for 2023 which is a total of €264.6 million. Using this allocation the estimated full year cost of increasing ECCE capitation by 10% would be €26.46 million.

It is important to note that these estimates does not account for change in usage resulting from this proposed subsidy increase. Any changes to subsidies may create a change in behaviours, for example, an increase in the number of services offering the scheme or families availing of ECCE for the first time.