A recent report from organisations representing 80% of Irish childcare providers has highlighted “serious concerns” that nearly half of providers may have to stop receiving core funding due to unsustainable costs and chronic underfunding. As a result, fees for parents could increase by 30-40%, impacting access to high-quality early years education.
Minister for Children Roderic O’Gorman stated that 95% of providers took up core funding in the first year, with plans to increase funding by 15% in the next program year. Additionally, a 25% reduction in parents’ fees through the National Childcare Scheme is set to take effect from 2 September.
However, providers are requesting further support to address rising operating costs and labor market challenges. They suggest a fee increase and adjustments to the ECCE capitation rate to ensure sustainability. Moreover, they are seeking a commitment to engage in meaningful discussions on future funding by 1 September.
While challenges remain, Minister O’Gorman reassured that steps are being taken to address concerns and support providers in delivering essential childcare services.
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