Kathleen Funchion (Carlow-Kilkenny, Sinn Fein)
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236. To ask the Minister for Children, Equality, Disability, Integration and Youth the impact that increases in the national childcare scheme is having; if his Department plans to increase the subsidy in budget 2024; and if he will make a statement on the matter. [6422/23]

Roderic O'Gorman (Dublin West, Green Party)
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As the Deputy will be aware, Budget 2023 has introduced a major reform to the National Childcare Scheme (NCS) from January 2023, which will substantially improve the affordability of early learning and childcare for families.

From 2 January, all families accessing registered early learning and childcare receive a minimum hourly NCS subsidy of €1.40. With the previous minimum hourly NCS subsidy set at €0.50 per hour, this represents an additional €0.90 per hour off the cost of early learning and childcare.

From this date, any family on the universal or income assessed subsidy who was not already at the maximum hourly rate under the scheme will have seen an increase in their subsidy. For those who receive an income assessed subsidy, the amount of the increase will taper down as they approach the maximum hourly rate. The exact reduction in costs will be unique to each family depending on their individual circumstances, and their early learning and childcare needs.

In terms of participation, a total of 108,369 children have benefited from the NCS in January 2023. This compares to a total of 54,907 children who benefitted from the scheme for the same period in 2022. This represents a 97% increase in the number of children benefitting from a successful claim year on year.

With regards to subsidies, the average weekly subsidy for income assessed subsidies was €70.04 in January 2023 – an increase of 8% from the previous year. The average universal subsidy for the same period was €34.88 – an increase of 91% compared to the previous year.

Lastly, decisions about increased investment are generally taken in the context of the Budget. In this context, various options for expenditure policy changes in the sector will be considered prior to Budget 2024 including in relation to the NCS.