Kathleen Funchion (Carlow-Kilkenny, Sinn Fein)
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259. To ask the Minister for Children and Youth Affairs the detail of the higher subsidy rate for persons under three years of age when introduced as part of the affordable childcare scheme; and the difference in amount compared with the ECCE higher and lower capitation rates. [26347/17]

Katherine Zappone (Dublin South West, Independent)
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Parents availing of subsidies under the Affordable Childcare Scheme (ACS) – whether for part-time or for full-time childcare – will be subsidised on the basis of the number of hours of childcare per week, with the subsidy per hour determined by the age of the child and the family income. For children under three years of age, maximum subsidy rates – for families with the lowest incomes – will be €4.18 per hour for 2 year olds, €4.37 per hour for 1 year olds and €5.11 per hour for children between 6 and 12 months . These maximum subsidy rates will apply to families with net incomes below €22,700. For families with net incomes between €22,700 and €47,500, the hourly subsidy rate will taper down evenly from the maximum subsidy rates to the minimum subsidy rate of €0.50 per hour.

The ECCE capitation rates are €64.50 per week for the standard capitation and €75 per week for the higher capitation. These rates provide for 15 hours per week. On an hourly basis, they are therefore equivalent to €4.30 per hour for the standard rate and €5 per hour for the higher rate.

The ECCE capitation rates are not directly comparable with the ACS rates as the ACS is intended to be a subsidy, with the parents expected to pay a co-payment (with the level of co-payment dependent on the family net income and on the price charged by the childcare provider), whereas ECCE is a full payment, with no charge for parents. In addition, the difference in rates between the schemes reflects the different adult-child ratios that are required depending on the age of the child and the type of session (e.g. whether sessional or full-time/part-time). Unlike in the ECCE programme, it is not proposed that ACS subsidy-rates will vary according to the qualification levels of childcare workers, though the link between the cost of delivery and qualification levels will be further examined in the context of the forthcoming independent review of the cost of quality childcare.