Written answers

Thursday, 13 October 2022

Department of Children, Equality, Disability, Integration and Youth

Budget 2023

Photo of Jennifer Carroll MacNeillJennifer Carroll MacNeill (Dún Laoghaire, Fine Gael)
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161. To ask the Minister for Children, Equality, Disability, Integration and Youth the impact that the Budget 2023 changes on childcare costs will have for parents in Dún Laoghaire having regard to the unduly high costs currently incurred there; and if he will make a statement on the matter. [50032/22]

Photo of Roderic O'GormanRoderic O'Gorman (Dublin West, Green Party)
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As part of Budget 2023, I introduced further enhancements to the NCS to take effect from January 2023. An additional investment in the National Childcare Scheme will increase the minimum subsidy from 50c to €1.40. This translates to up to €63.00 off families’ weekly bill for early learning and childcare per child. With up to €22.50 currently available per week, this represents up to an additional €40.50 off weekly costs.

It will also mean that any family who is not already at the maximum hourly subsidy will see an increase in their subsidy. For those who have an award less than the maximum subsidy, the amount of the increase will taper down as they approach the maximum hourly subsidy.

In terms of income the largest increase (an extra 90c per hour) will be seen by those on net income of €60,000 and above; all families with reckonable income of €26,000 and above will see some level of increase with the rate of increase tapering off as they move closer to €26,000. Those at €26,000 and below are already on the highest levels of subsidy.

The exact reduction in costs will be unique to each family depending on their personal circumstances and childcare needs including location specific variables such as service provider. However, a subsidy copayment tool will be made available in the coming weeks to help estimate increased subsidies available. It will be available on ncs.gov.ie

On 15th September, I launched Together for Better, the new funding model for early learning and childcare. This new funding model will support delivery of ELC and SAC for the public good, for quality and affordability for children, parents and families.

Together for Better brings together three major elements, the Early Childhood Care and Education programme, including the Access and Inclusion Model, the National Childcare Scheme and Core Funding.

Core Funding is the new funding stream in operation since 15 September 2022. A central condition of Core Funding is that providers agree not to increase fees above those which were charged last year. This gives parents greater certainty about what they will be charged and ensures that increases to NCS subsidies are not absorbed by fee increases. The approach to fee management will be developed further over time.

Participation in the Core Funding is optional and a list of participating services is available online here: first5fundingmodel.gov.ie/together-for-better/. To date, more than 90% of services are signed-up and thereby agreeing to operating the fee conditions. Parents should also be receiving a copy of their Partner Services fees policy outlined in the Parent Statement. I would encourage parents to contact their local City/County Childcare Committee for support and guidance. Contact information for City/County Childcare Committee is available here: myccc.ie/.

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