James Geoghegan (Dublin Bay South, Fine Gael)
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141. To ask the Minister for Children, Equality, Disability, Integration and Youth if she will outline the steps being taken to entice childcare providers who have exited core funding back into core funding, thereby ensuring the fee cap is maintained for the benefit of all parents; if she will provide a forum for engagement with childcare providers who have exited core funding; and if she will make a statement on the matter. [20999/25]

Norma Foley (Kerry, Fianna Fail)
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In view of the 15% increase in Core Funding in year 3 and the associated supports, including the increase in the flat rate allocation for sessional services to €5,000, the increase in the minimum Core Funding allocation to €14,000 and the introduction of the Fee Increase Assessment Process, I am confident that, participation rates will continue to remain on par with previous years.

A further €45 million for the full 2025/2026 programme year has been ring-fenced specifically to support employers to meet the costs of further increases to the minimum rates of pay in the sector. Combined, and contingent on the third successive Employment Regulations Orders, the Core Funding allocation will exceed €390 million in year 4.

In response to concerns raised by some providers, there was also changes to fee management in Year 3, including:

• A fee increase process
• A fee cap

Over 92% or over 4,400 eligible services are currently signed up in year 3, with applications still open.

Participation in Core Funding is optional but it remains open to all registered providers subject to their agreement to the terms and conditions of the funding.

While my Department cannot mandate providers to participate in schemes, every effort has been made to carefully design Core Funding to meet the policy objectives including to achieve high levels of participation by providers.

It is a matter for providers to decide whether they wish to enter and/or withdraw from the Core Funding scheme, the significant financial supports it provides to providers and the certainty it provides to parents through the associated fee freeze.

My Department continues its engagement with the sector via feedback sessions with service providers, Pobal, the scheme administrator and also County/City Childcare Committee's. My Department's Officials engage with members and nominees of the Early Learning Childcare Stakeholder Forum and have committed to continued engagement with the sector on the future development to the Core Funding scheme.