Some private crèches are abusing affordable childcare scheme
By Aura McMenamin
SOME Private crèches are abusing the government’s Affordable Childcare Scheme by raising fees, according to MEP Brian Hayes.
Under the scheme, created by the Department of Children and Youth Affairs, subsidies for crèches were intended to lower the cost of childcare for parents.
However, the former Fine Gael TD for Dublin South West said he received around 25 complaints from Dublin constituents who said their childcare provider had announced a hike in fees.
Mr Hayes said: “I do acknowledge the majority of privately run crèches provide a vital service and offer great support to families.
“However, I am aware of one Dublin West crèche which unashamedly informed parents that a 8 per cent pay hike was being imposed to cover both the ECCE (Free pre-school scheme) and CCSP (Affordable Childcare Scheme) subsidies.”
“This same crèche only imposed a 7 per cent hike 18 months ago. A 15 per cent increase in that time period is extortionate.”
Mr Hayes did not name crèches in the local area but said urgent action was needed to put a stop to rising fees. Speaking to The Echo, he said he would like to see a competition authority put in place that would protect consumers, or parents.
Earlier this week, Early Childhood Ireland stated that only 60 per cent had signed up to the new scheme.
According to Teresa Heeney, CEO of Early Childhood Ireland, the scheme is putting an administrative burden on crèches.
Ms Heeney said: “Childcare providers say they’re not signing up to the affordable care scheme because of the bureaucracy involved.
Just 60 per cent of facilities have signed up to date, with thousands of parents set to miss out on payments as a result.
Crèches say they haven’t seen the contracts yet and the IT system needed for the scheme to work hasn’t been set up properly.
Ms Heeney pointed out that a high level of detail is required on the application form, which can take 30 to 40 minutes to complete.
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