Childcare bills will see a significant reduction from next week, according to Children’s Minister Roderic O’Gorman.
This comes as a result of ministers agreeing to slash fees by 25 per cent as part of Budget 2023 from significant increases in taxpayer funding of childcare. The cut will be welcomed by overwhelmed families facing soaring heating bills and cost-of-living increases on top of Christmas-related expenses.
“It’s not promises,” Minister O’Gorman told the Irish Independent. “It’s real delivery, the biggest cut in childcare fees in the history of the State. I’ve secured the largest increase in one-year investment in childcare in the history of the State. That subsidy will come off everyone’s bills. Now some people’s bills are higher and lower. So what we’re saying is it will be an average (cut) across the country (of) 25 per cent.”
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Parents will see an average reduction of 25 per cent to their fees from January 2 with the Universal Subsidy being increased from 50c an hour by 90c to €1.40 per hour for a maximum of 45 hours a week. Families with children who are over six months but less than 15 years of age and registered with Tusla will be eligible for the reduction.
“We’ve also been able to increase the sustainability of providers, the childcare providers themselves through core funding (of) €259m this year,” Mr O’Gorman said. Small ECCE-only (Early Childhood Care and Education Scheme) services will now get funding of €27m, almost double the previous €14m, he added.
While nearly 90 per cent of the country’s childcare providers have signed up for the core funding, last month 500 ECCE childcare providers shut for a day to protest the new funding model. They claim it’s unfair and has led to small providers losing higher capitation and support payments.
Separately, Taoiseach Leo Varadkar has vowed to reduce paediatric waiting lists over the next two years, with a new unit also being set up in his department to focus on reducing child poverty and improving well-being.
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