Lucinda Creighton (Dublin South East, Fine Gael)

This new scheme will have the effect of reducing the options open to families throughout the country and driving people back into welfare dependence out of which they had dragged themselves to a large extent.

According to the European Centre for Social Welfare Policy and Research, Ireland has among the highest child care fees in Europe. The cost of child care to a family on an average wage here is far higher than in most of the other OECD countries. When we take into account the tax reductions, child care benefits and rebates available, Irish families endure the highest net costs for child care. It now appears the Government will attack families even further by making child care even more expensive for working families, particularly those in disadvantaged areas. This problem must be tackled by making child care more affordable for young working families who are the future of the economy. As it stands, the Government will encourage parents to become dependent on social welfare instead of giving them the financial incentive to return to the workplace, or remain in the workplace as is the case in many areas.

Some areas in my constituency have between 40% and 50% of adults with only primary school education, making support in education a massive priority for the area. On a recent visit to the Ringsend Action Project in my constituency, I was shown the great work that had been done to combat those statistics in that area. They are working in a very effective manner to educate people, particularly through adult learning. Their breakfast club, and particularly their after school programme, is a critical aspect of this and is testament to what can be achieved with the right investment and approach from such proactive communities.

The calculations given to me by the Ringsend Action Project, if the Minister's plans go ahead, are that they will be forced to charge €1,500 per child to plan B parents, that is, those on disability allowance, invalidity benefit and so on, and well over €2,000 per child for parents who are working in lower paid jobs. The choice facing them is to impose the system or to make redundant the two part-time primary teachers and the full-time adult worker in the breakfast and after school clubs and to shut the scheme down. It is not an acceptable outcome.

The funding proposals are bad for community crèches, young families on low incomes and social welfare recipients. If the Government insists on going down this road, it will create a scheme whereby low income families are encouraged to return to social welfare dependency. The Government should do everything in its power to avoid that scenario.

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