€225m goes ‘missing’ from childcare funding since Budget Day

ABOUT €225m appears to have gone missing from childcare funding in just over a week as massive differences emerged between claims made on Budget Day and an announcement by the minister in charge yesterday.

Justice Minister Michael McDowell, who is responsible for funding the Equal Opportunities Childcare Programme, said yesterday a “hugely impressive” figure of over €500m will have been spent on creating more spaces between 2000 and 2009. An extra €90m in capital funding is available for childcare over the next five years, on top of the €450m earmarked under the 2000-2006 National Development Plan.

However, in a press release on December 2, it was claimed the total funding over the same 10-year period would be €725m. The same statement claimed just under €500m would be provided under the programme “over the next five years,” on top of the €235m that has actually been spent up to now. Yesterday, Mr McDowell claimed the number of childcare places created under the development plan is 33,500, far exceeding a 28,000 target.

On Budget Day, the stated target by the end of 2006 was 31,300 with a promise of a further 17,000 places by 2009. By the end of June, 20,500 places had actually been created. The minister announced details of spending on childcare under the programme. An extra €90m has been allocated on top of some €450m already earmarked for spending from 2000 and 2006. In the short term, capital grants to create 38 childcare facilities will be made available while a further 16 projects already up and running are to be funded under the programme.

Mr McDowell said the aim is to support the establishment of community-based not-for-profit groups.