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Childcare Services

Dáil Éireann Debate, Tuesday - 26 May 2026

Tuesday, 26 May 2026

Questions (952, 953)

Barry Ward

Question:

952. Deputy Barry Ward asked the Minister for Children, Disability and Equality if her attention has been drawn to the withdrawal of a childcare facility from the core funding model (details supplied); the actions she will take to support parents with the knock-on price increase; and if she will make a statement on the matter. [38887/26]

View answer

Barry Ward

Question:

953. Deputy Barry Ward asked the Minister for Children, Disability and Equality the position regarding the engagement that her Department has had with the management of a childcare facility (details supplied) prior to their withdrawal from the core funding model; and if she will make a statement on the matter. [38888/26]

View answer

Written answers

I propose to take Questions Nos. 952 and 953 together.

Core Funding is a supply-side grant to early learning and childcare providers towards their operating costs. It is designed to promote affordability for parents and sustainability for providers through increased funding to the sector, paid on a consistent and equitable basis.

As Core Funding is an optional scheme, providers have the autonomy to withdraw from or choose not to participate in the scheme. Participation in Core Funding is optional, but it remains open to all Tulsa-registered providers, subject to their agreement to the terms and conditions of the Core Funding Agreement. It is a matter for providers to decide whether they wish to sign up to Core Funding and benefit from the significant financial supports it offers to providers and the certainty it gives to parents through the associated fee management measures.

In relation to The Magic Roundabout childcare service, the projected full-year Core Funding allocation for programme year 2 equated to €188,820.82. This represented an increase of 6% since the scheme was first introduced. The table below outlines the Core Funding allocations for this service.

Name of provider

2022/2023

Core Funding received

2023/2024

Core Funding received

*Beautiful Minds Creche & Montessori

*Currently known as The Magic Roundabout

€ 177,579.70

€ 188,820.82

Please note, this service provider is not currently in contract for Core Funding. This service was last signed up for Core Funding in the 2023/24 programme year, which elapsed in August 2024. They did not rejoin in September 2024. Their last payment allocation for Core Funding was dated up to 31/08/2024

While the State cannot mandate providers to participate in the scheme, Core Funding has been designed with maximum participation of providers in mind as reflected in the year-on-year growth of investment in the Scheme (rising from €259 million in 2022 to over €390 million in 2025). This represents an increase of over 50% in Core Funding in three years.

I was pleased to announce further investment in Core Funding in Budget 2026. The additional funding being made available in 2026 will see the allocation for Core Funding in the next programme year which begins in September 2026 increase to over €480 million. That is an additional €89.3 million on the current full year allocation, or a 23% increase.

The Department has a list of all Core Funding Partner Services which is updated regularly on the Department’s website under [How to Find a Partner Service].

Regardless of whether the early learning and childcare service which their child attends is participating in Core Funding, both the Early Childhood Care and Education (ECCE) programme and the National Childcare Scheme (NCS) are currently available to parents.

The Local Childcare Committee can provide contact information for parents should they need help to secure alternative places. Parents/guardians can also use the following website to find Core Funding Partner Services in their area at www.ncs.gov.ie/en/childcare-search/

The National Childcare Scheme (NCS) provides financial support to help parents reduce the cost of early learning and childcare in the form of a subsidy paid directly to the childcare provider. Subsidies are available for children aged between 24 weeks and 15 years of age. The minimum rate available to all families in Ireland is €2.14 per hour, which is available for up to 45 weekly hours. Depending on the child's age and the family's income, an additional income assessed subsidy may be available to provide additional support.

Effective September 2026, the NCS income thresholds will increase significantly, expanding eligibility for subsidies. The lower income threshold rises to €34,000 (from €26,000), allowing more families to access maximum subsidies, while the upper threshold increases to €68,000 (from €60,000). This also means that most families currently receiving an income assessed award will see an increase in their subsidy due to positive tapering effects.

Question No. 953 answered with Question No. 952.
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