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Dublin Live
18 hours ago
- Politics
- Dublin Live
Childcare fees to be capped in money boost for Irish parents
The Minister for Children has announced that childcare fees are soon to be capped at €200 a week for thousands of parents. Norma Foley, Minister for Children, Disability, and Equality, announced earlier this week that a new maximum fee cap for early learning and childcare services participating in Core Funding will be coming into effect this year. An initial maximum fee cap was put in place for new entrants to the scheme last year. A new maximum fee cap will now be introduced for all new and existing services receiving this State funding this September, which will further lower the maximum fees that can be charged depending on the number of hours provided. Under these new maximum fee caps, the highest possible fees will be no more than €295 per week for a full day place of between 40-50 hours per week. This will bring these fees closer to the average weekly fee of €197 for full day care. These fees for parents are then reduced by State subsidies under the National Childcare Scheme and the free, universal two-year Early Childhood Care and Education preschool programme. A parent being charged the maximum permissible fee of €295 per week for a full day place would be entitled to receive the universal National Childcare Scheme subsidy of €96.30. This means a parents co-payment would be no more than €198.70 each week. In addition to this a new maximum fee cap, the unprecedented funding available through Core Funding will ensure the existing fee freeze, which was introduced in 2022, will remain in place for participating services. This will continue to assist parents with children in the majority of services whose fees fall below the new fee caps. Announcing the changes, Minister Foley said: "One of the areas where parents and families are most looking for help is with the cost of early learning and childcare. Since 2020, the amount of State funding in this area has increased from around €600 million to €1.37 billion this year. That has led to a 50% reduction in the cost faced by parents on average and a record number of children – approximately 190,000 – have benefitted from the National Childcare Scheme this year. So there has been progress. But I know that the cost of early learning and childcare is still far too high for many parents. "The extension of maximum fee caps to all services participating in Core Funding will reduce costs for families facing the highest fees in the country. It will address some of the extreme fee disparities across the sector in a meaningful way, so that there are more consistent rates in place for families in their local areas. "It is another step along the way to achieving the commitment in the Programme for Government to a maximum payment by parents of €200 per child per month for early learning and childcare during the lifetime of this government. Core Funding has enjoyed high participation rates to date, with 92 per cent of services taking part. There is going to be a further €60 million increase in State funding for this Scheme in 2025/2026, bringing the total to a record €390 million. I am confident that the increased funding available from September will allow for the continued partnership with for early learning and childcare services." Join our Dublin Live breaking news service on WhatsApp. Click this link to receive your daily dose of Dublin Live content. We also treat our community members to special offers, promotions, and adverts from us and our partners. If you don't like our community, you can check out any time you like. If you're curious, you can read our Privacy Notice. For all the latest news from Dublin and surrounding areas visit our homepage.
The Irish Sun
2 days ago
- Business
- The Irish Sun
New €200 maximum childcare fee boost for 190k Irish parents in MONTHS as ‘higher subsidies' details confirmed
CHILDCARE fees for around 190,000 parents across Ireland will be capped at just under €200 each week, it has been confirmed. Minister for Children 2 Childcare fees for thousands of Irish parents will now be capped at just under €200 each week Credit: Getty Images 2 Children's Minister Norma Foley confirmed the change in the maximum childcare fees yesterday Credit: Cillian Sherlock/PA Wire And the A This will lower the maximum fees that can be charged depending on the number of hours provided. Under these new maximum fee caps, the highest possible fees will be no more than €295 per week for a full day place of between 40-50 hours per week. READ MORE IN MONEY This will bring these fees closer to the average weekly fee of €197 for full day care. These fees for parents are then reduced by State subsidies under the National Childcare Scheme and the free, universal two-year Early Childhood Care and Education preschool programme. A parent being charged the maximum permissible fee of €295 per week for a full day place would be entitled to receive the universal National Childcare Scheme subsidy of €96.30. This means a parents co-payment would be no more than €198.70 each week. MOST READ ON THE IRISH SUN However, it has been confirmed that "higher subsidies are available for many parents", depending on their level of income and the age and number of children in their family. I work in a nursery and there are four types of parents we cannot stand one bit - and don't even get me started on kids wearing pull-ups Confirming the new caps, Minister Foley said: "Since 2020, the amount of State funding in this area has increased from around €600 million to €1.37 billion this year. "That has led to a 50 per cent reduction in the cost faced by parents on average and a record number of children – approximately 190,000 have benefitted from the National Childcare Scheme this year. "So there has been progress. But I know that the cost of early learning and childcare is still far too high for many parents." FEE FREEZE In addition to the new fee cap, funds available through Core Funding will ensure the existing fee freeze, introduced in 2022, will remain in place for participating services. Minister Foley said: "The extension of maximum fee caps to all services participating in Core Funding will reduce costs for families facing the highest fees in the country. "It will address some of the extreme fee disparities across the sector in a meaningful way, so that there are more consistent rates in place for families in their local areas. "It is another step along the way to achieving the commitment in the Programme for Government to a maximum payment by parents of €200 per child per month for early learning and childcare during the lifetime of this government. "Core Funding has enjoyed high participation rates to date, with 92 per cent of services taking part." WHAT DO MAX FEE CAPS MEAN FOR ME? MAXIMUM fee caps were introduced for Partner Services joining Core Funding for the first time in September of last year. Today's announcement means that maximum fee caps will apply to all new and existing Partner Services from September. Any fees above these caps will now be lowered. Now, a parent availing of 45 hours of care for their child, and who is also in receipt of the maximum NCS subsidy, will not pay any more than €198.70 out of pocket costs. The She said: "I am confident that the increased funding available from September will allow for the continued partnership with early learning and childcare services." The additional €60 million includes €45 million specifically ring-fenced to support the outcomes of the committee made up of employer and employee representatives from the childcare sector. Foley said: "We want the best of people caring for and educating children in the sector. To do that, and to keep them in the sector, they need to be paid fairly. "This new €45 million in funding will be contingent on increased minimum pay rates for the sector being agreed by the Joint Labour Committee. "Once new Employment Regulation Orders for the sector are agreed, this funding will specifically support employers to meet the costs of these increases to the minimum rates of pay in the sector."
Irish Times
3 days ago
- Business
- Irish Times
Families paying highest childcare costs to benefit from cap in September
Families paying some of the country's highest childcare fees will see costs reduced in September after the Department of Children confirmed new caps on what providers can charge. The new ceilings should mean no parents pay more than €295 per week for a child attending a service participating in the Government's Core Funding scheme for between 40 and 50 hours a week. That figure will, in most cases, reduce to €198.70 after other supports are factored in. The caps vary according to the number of hours involved. The reductions, however, will only affect those parents whose children attend the most expensive services in receipt of Core Funding, with about 10 per cent of the almost 4,500 Government-supported providers charging at least one type of fee that will have to be reduced. In many cases, however, the savings should amount to more than €100 per child per month. READ MORE The imposition of fee caps from September on service providers in receipt of Core Funding had been scheduled for some time, but they had only previously applied to services that signed up to Core Funding for the first time. The department said on Thursday that the new caps would bring the gross fees paid by parents at more expensive services closer to the national average cost of €197 per week. At the announcement, Minister for Children Norma Foley acknowledged the Government still has considerable ground to cover to honour commitments that costs to parents will be cut to €200 per month. She said this would be done during the life of the Government, but said it was too early to indicate what scale of reductions might be funded in this year's budget. The childcare sector funding year runs from September to August and most of the big funding changes set to take effect later this year were announced before the current Government was elected. 'The programme for government has a very clear commitment around the €200 and that is our absolute goal,' she said. 'I've been very clear that we will do that over the lifetime of this Government. It will be incremental, and we're starting at the very top where there are extraordinarily high costs to parents, and we're beginning to bring that down.' Ms Foley said Core Funding would increase from €331 million in the current year to at least €350 million in the year from September with up to €45 million in additional funding to support pay in the sector which is widely seen as a barrier to the provision of additional places and services due to the difficulty in attracting and retaining staff. Minimum rates in the sector are only fractionally above the minimum wage. Talks between employer groups and unions on a new sector-wide agreement on minimum rates are ongoing and while progress is said to have been made, it is not clear that any new deal would be in place by September. If it is not, or the increases agreed are too small, some of the €45 million will be retained by the department. 'This funding is welcome, but the scale of it has to be reflected in the pay of staff in the sector,' said Darragh O'Connor of Siptu. 'Otherwise, it will be impossible for anyone to go back and make the case for similar supports in future years.' Karen Clince, chief executive at one of the country's largest providers, Tigers, welcomed the increased levels of Core Funding to be provided. But she said 'it doesn't go nearly far enough to address the horrific staffing we find ourselves in. We need more focus on pay and conditions rather than just vote-winning affordability.'
Belfast Telegraph
3 days ago
- Business
- Belfast Telegraph
Foley announces further reduction in childcare fees
Under the new maximum fee caps for providers availing of State support through Core Funding, the highest possible fees will be no more than 295 euros per week for a full day place of between 40-50 hours per week. This will bring these fees closer to the average weekly fee of 197 euros for full day care. The move comes after the Government committed to progressively reduce the cost of early learning and childcare to 200 euros per month during the lifetime of the coalition. It follows an initial fee cap which was put in place last year limited to new entrants to the scheme. That cap will now be lowered and applied to all new and existing services receiving the State funding from September, which will further lower the maximum fees that can be charged depending on the number of hours provided. Fees for parents are further reduced by State subsidies under the National Childcare Scheme and the free, universal two-year Early Childhood Care and Education pre-school programme. A parent being charged the maximum permissible fee of 295 euros per week for a full day place would be entitled to receive the universal National Childcare Scheme subsidy of 96.30 euros, meaning their own co-payment would be no more than 198.70 euros per week. Higher subsidies are available for many parents depending on their level of income as well as the age and number of children in their family. The measure was announced by Children's Minister Norma Foley on Thursday. She said the move would reduce costs for families who are facing the highest fees across the country in around 10% of early learning and childcare providers. At the same time, State funding for early learning and childcare providers through Core Funding is being increased by 60 million euros for the forthcoming 2025/2026 period, bringing it to a record level of more than 390 million euros. The Department of Children said 'unprecedented funding' will ensure an existing fee freeze, which was introduced in 2022, will remain in place for participating services. Speaking to reporters at the Department of Children, Ms Foley said: 'We have made considerable progress over the last number of years but today we're also cognisant that it is an unfinished journey – and we remain on the journey.' She said the fee cap would support parents who are 'paying extraordinarily high fees'. As an example, Ms Foley said: 'Parents who are paying particularly high fees are paying between 300-325 euro. 'The fee cap will reduce that to 295 euro, and when the subsidy which is already in existence gets factored in, they would pay less than 200 euro. 'So on average right across the year, that is a saving for those parents of approximately 1,500 euro.'
Irish Daily Mirror
3 days ago
- Business
- Irish Daily Mirror
Childcare fees to be reduced to under €200 a week from September
Childcare fees for some parents will be capped at just under €200 a week under new plans unveiled by the Children's Minister. Norma Foley confirmed that this could save parents paying the highest fees €1,500 over the course of a year. She also vowed that the Government will implement €200-a-month childcare fees over the course of this Government's five-year term. A new maximum fee cap will now be introduced for all new services availing of State funding through the Core Funding scheme from this September. Under these new maximum fee caps, the highest possible fees will be no more than €295 per week for a full-day place with 40 to 50 hours per week. This will reduce costs for families who are facing the highest fees across the country in around 10 per cent of early learning and childcare providers. These fees will be reduced further by State subsidies under the National Childcare Scheme and the free, universal two-year Early Childhood Care and Education (ECCE) preschool programme. A parent being charged the maximum permissible fee of €295 per week for a full day place would be entitled to receive the universal National Childcare Scheme subsidy of €96.30, meaning their own payment would be no more than €198.70 per week. Higher subsidies are available for many parents, depending on their level of income and the age and number of children in early education. Ms Foley said the Government is on an "unfinished journey" to reduce the cost of childcare. The highest cost of childcare fees ranges between €300 and €325 a week, with Minister Foley arguing that the fee freeze will save parents €1,500 per child. The Programme for Government commits to introducing €200 a month childcare. Minister Foley said: "We're absolutely clear that the Programme for Government has a very clear commitment around the €200 and that is our absolute goal. "I've been very clear that we would do that over the lifetime of this government. It will be incremental. "The steps we take today, we're starting at the very top where there's an extraordinarily high cost to parents and we're beginning to bring that down." Compared to this time last year, there has been an increase in 226 providers taking part in the Core Funding model. This is despite providers threatening to pull out of the scheme because it was not meeting their increasing costs or inflation. Ms Foley announced that increased Core Funding of €390 million will be available from September.
