Brian Cowen (Laois-Offaly, Fianna Fail)

Deputy Burton raised this matter on Committee Stage two weeks ago and I said I would reflect on it. The relief to which she referred was introduced last year and restricted to a person minding up to three children, not their own, in the minder's own home. As I understand the Deputy, her proposal is aimed at extending the exemption to persons minding larger numbers of children of school going age and on Committee Stage she raised the possibility of minding up to eight children after school for a short number of hours, perhaps even in a school setting.

It is worth recalling the main aim of this relief, which is a simple form of tax exemption. The scheme affords people operating informal childminding arrangements, which of their nature are very small scale, the opportunity to regularise their tax position and benefit from the exemption. It also offers the possibility of relief to those who might consider providing such services in the future. The main purpose, therefore, is to underpin the supply of childminding places in the informal sector.

In our previous discussion I explained that I did not want to blur the distinction between the formal, larger scale and regulated part of the child care sector and the informal part, to which this tax exemption applies. It is important to maintain this distinction and, accordingly, minding larger numbers of children, even for limited periods, does not sit easily with the informal model. Furthermore I would be concerned at extending the relief beyond three children because of the various safety issues which would arise. The consultations my officials have had since Committee Stage with the Office of the Minister for Children fully confirm and reinforce those concerns.

I appreciate the Deputy said she had no objection to notification to the Health Service Executive and the consequent regulation of such situations. To avail of the tax exemption, however, a simple notification to the county child care committee is all that is required. This ensures that the childminder has access to information on training. This type of notification would not be appropriate once the number of children being cared for exceeds three.

As the Deputy will be aware, under the Childcare Act 1991, certain categories of childminders are legally obliged to be registered with the Health Service Executive and are subject to a considerable level of scrutiny and regulation. The Child Care (Amendment) Bill 2006, which is currently before the Oireachtas, will, when enacted, allow for a more extensive level of regulation in this area. The trend is, therefore, towards extending regulation. However, while the facilities provided in the Child Care (Amendment) Bill 2006 will introduce such regulations, I understand that this is unlikely to happen in the short term. Without such regulation and in view of the child safety issues involved, I do not believe it would be appropriate at this stage to consider introducing an extension of the childminding tax exemption scheme as proposed by the Deputy. I have some sympathy with the idea she has put forward and I would be prepared to have this issue re-examined when the regulations are in place. Nevertheless, and as already stated, the Deputy's proposals do not sit easily within the existing informal model. For these reasons, I cannot accept her amendment at this time.

See this speech in context