Written answers

Tuesday, 20 October 2020

Department of Children and Youth Affairs

Budget 2021

Photo of Maurice QuinlivanMaurice Quinlivan (Limerick City, Sinn Fein)
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468. To ask the Minister for Children and Youth Affairs the position regarding the lack of childcare funding increases in budget 2021, particularly the national childcare scheme and early childhood care and education scheme, despite a commitment to do so in the programme for Government; and if he will make a statement on the matter. [31775/20]

Photo of Roderic O'GormanRoderic O'Gorman (Dublin West, Green Party)
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I have secured a total of €638million for Early Learning and Childcare programmes and initiatives next year, despite the particularly challenging circumstances surrounding Budget 2021. In addition, I have secured access for the sector to the Employment Wage Subsidy Scheme with a critical exemption to the turnover rule. This is worth €60m to the sector for the first 3 months of the year. It is important to note that the sector received a quite unique and extensive range of supports in 2020 which is estimated at €180m above and beyond the childcare budget in place. This is indicative of the value and importance of this sector to me, my Department and to Government.

In 2020, and for at least part of 2021, a primary focus of my Department has been, and will be, on sustaining the ELC and SAC sector. We have kept services open through supporting them with the additional costs associated with following public health guidance, the cost of lower occupancy, and through encouraging greater uptake of childcare places.

As such, the key new contributor to the ELC and SAC sector in 2021 is the Employment Wage Subsidy Scheme which funds up to €200 per week, per staff member. This funding in now secured until March 31 and I will continue to work to ensure that the needs of the sector are recognised in any reforms of the scheme thereafter.

A second key contributor to the sector in 2021 will be to encourage more parents to access safe and more affordable early learning and childcare services. Due to COVID, we have witnessed a reduction in demand for childcare in 2020 in terms of numbers and hours. Despite this, I have retained all funding in Budget 2021, meaning that there is funding available for up to 20,000 new families to join the National Childcare Scheme and access subsidies of up to €200 per child, per week. There is also funding available in 2021 for existing families in receipt of the NCS or other schemes, now on lower income as a result of COVID, to receive higher subsidies.

I look forward to building on these developments in 2021 when I receive the report of the Expert Group which is developing a new Funding Model and also when the Workforce Development Plan is completed.

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