Budget childcare measures not enough for parents or providers, councillor says

The reduction in costs for the childcare sector in Budget 2027 has been welcomed, but a former early years educator has warned that the Government cannot subsidise a childcare place that does not exist.

The national childcare scheme will receive an additional €65m, bringing the maximum monthly fee down to €550 from next September, while the department’s core funding scheme for providers will increase by €114.3m.

Labour councillor Ciara O’Connor warned that €550 remains a substantial bill for working families and will not address the severe shortage of childcare places in a growing Cork city.

Ms O’Connor said: “Any reduction in childcare costs is welcome. Parents in Cork are under enormous pressure and saving approximately €1,000 a year will make a difference.

“But €550 a month is still €6,600 a year for one child. For a family with two young children, childcare can still represent one of the biggest bills they face.

“And affordability is only half of the crisis. You cannot subsidise a childcare place that doesn’t exist.”

Ms O’Connor said this was particularly important in light of significant housing and population growth in Cork city.

“Every week I am contacted by Cork parents struggling to find childcare,” she said. “Baby places are particularly difficult to source.

“Parents can spend months on waiting lists and still reach the end of maternity or parental leave without somewhere for their baby to go.”

The capacity crisis is caused by a workforce crisis, which will not be solved by this budget, she said.

“Early Childhood Ireland has called for a date for pay parity for graduates, a doubling of the graduate premium and three in-service days for early years and school age care settings.

“I know personally why this matters. I left early years despite loving the work because financially I could not justify staying in the profession. I miss it every day.

“We are losing incredible, experienced and highly qualified educators to other careers because they cannot afford to stay.

“If government wants thousands more childcare places, we need thousands of educators to work in them.”

Ms O’Connor previously raised at council level the problem of purpose-built crèches within developments not being completed.

The Labour councillor said: “A crèche drawn on a planning application is not a childcare place. It only becomes one when the doors are open, educators are employed and children can actually attend.”