Joanne Collins (Sinn Fein) | Oireachtas source

I welcome the Minister to the House. I wish to raise a significant flaw in the NCS which is creating financial hardship for childcare providers and placing an unfair burden on parents. Under the current rules, if a parent collects their child early from childcare, the provider is financially penalised. It must either refund the portion of the subsidy it received from the NCS or absorb the financial loss itself. The reality is that most providers who are already under immense financial pressure cannot afford to take the hit and, therefore, are left with no choice but to pass the cost onto parents, charging them for hours they do not use. This is a completely unfair system. Parents should not be financially penalised and punished for picking their children up early from childcare due to work schedules, family needs or unforeseen circumstances. Many parents work in jobs with variable hours and long commutes. Flexible childcare should be supported and not penalised.

Childcare providers are struggling to stay afloat under the weight of this scheme. We already know that many small and community-based providers are at risk of closing due to rising costs and staffing pressures. Instead of providing stability, the NCS is creating even more financial uncertainty for them. If a provider cannot rely on stable funding because of unpredictable attendance, how is it expected to maintain staff levels, keep its doors open and continue delivering quality childcare? The Government needs to urgently address this issue. The NCS should support flexibility and not penalise it. Funding should be based on the actual needs of childcare providers and families rather than forcing a rigid, one-size-fits-all model that does not reflect the reality of how families use childcare. If we are to be serious about making childcare more affordable and accessible, we need to ensure the system is fair for both the parents and the providers.