Childcare fees for parents paying the highest rates in Carlow, Kilkenny and across the country to be capped

From September, childcare fees for parents paying the highest rates will be capped at €295 per week.

With the National Childcare Scheme subsidy, many parents will effectively pay around €198 weekly, closer to the national average of €197.

The cap applies to full-day care of 40 to 50 hours and follows a fee freeze introduced in 2022.

State funding for childcare will also rise by €60million next year.

Carlow Kilkenny FF TD Peter ‘Chap’ Cleere says “It marks another important step toward fulfilling Fianna Fáil’s commitment to capping parents’ childcare costs at €200 per child per month within the lifetime of this government.”

Deputy Cleere adds; “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 co-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 their family.’’

Minister Foley also announced that €45 million of the increased funding will be ring-fenced to support higher minimum pay rates, subject to new Employment Regulation Orders agreed by the Joint Labour Committee. The goal is to improve pay and retention for the sector’s 37,000 staff.

Deputy Cleere notes; “This was an objective that we committed to in our Programme for Government to ensure that the sector will continue to attract and retain this vital workforce. 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.”

However, some local providers don’t think the measures will impact those in Carlow and Kilkenny.