Written answers

Tuesday, 2 May 2017

Department of Children and Youth Affairs

Child Care Services Provision

Photo of Noel RockNoel Rock (Dublin North West, Fine Gael)
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1434. To ask the Minister for Children and Youth Affairs the reason her Department cannot access income information from the Revenue Commissioners; the estimated number of families which will miss out on the child care subsidy as a consequence; when this will be ameliorated; and if she will make a statement on the matter. [19689/17]

Photo of Katherine ZapponeKatherine Zappone (Dublin South West, Independent)
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It is incorrect to suggest that my Department cannot access income information from the Revenue Commissioners, or from the Department of Social Protection. Throughout the development of the Affordable Childcare Scheme, both the Revenue Commissioners and the Department of Social Protection have worked closely with my Department to ensure the new Scheme will have full and efficient access to income information. Officials of my Department have at all times received a high level of cooperation and support from both the Revenue Commissioners and the Department of Social Protection.

The Affordable Childcare Scheme is an extremely complex and ambitious project because of all that is involved - legislation, new business processes, data protection and building a new IT system. Since the policy paper for the introduction of the Affordable Childcare Scheme was approved by Government in October 2016, officials of the DCYA and Pobal have been working intensively to plan for the implementation of this Scheme.

I recently announced that a number of changes will be made to existing childcare schemes that will bring substantial benefits to an estimated 70,000 children and their families from this September. These changes will include a new universal childcare subsidy for children aged from 6 months up to 36 months old (or commencement of the free pre-school programme). It is estimated that this new universal childcare subsidy may benefit approximately 33,000 children and their families. For children in full-time, registered childcare, the subsidy will amount to approximately €1,000 per annum.

In addition, there will be significant increases of up to 50 percent in childcare subvention rates provided under the Community Childcare Subvention Scheme for children aged from 6 months up to 15 years old. It is estimated that up to 37,000 children and their families may benefit from targeted subsidies from this September. A large proportion of these will see an increase in their weekly subsidy. For example, parents availing of full-time childcare who currently have their childcare costs subsidised by €95 per week under the Community Childcare Subvention will see their subvention rate rise to €145 per week. Thousands of children and their families are expected to benefit from targeted supports for the first time from September due to improved access to existing schemes through a greater number of childcare providers throughout the country. These children and their families too will benefit from these generous increases in childcare subvention rates.

The Affordable Childcare Scheme will be introduced at the earliest possible date, while ensuring that the scheme is fully operational and user-friendly for all concerned. When it is introduced, additional families who are not eligible for current schemes but who then meet ACS income criteria will also benefit from subsidies. Given the considerable uncertainty about the impact of the new scheme on parental demand for childcare, the number of additional beneficiaries at that stage cannot be determined with any precision. However, it is estimated that the total number of beneficiaries in the first year of the Affordable Childcare Scheme may be approximately 79,000 and that the number is likely to continue to rise over time in response to parental demand.

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