Providing childcare for under-3s ‘financially unviable’

A study of daycare providers has found it is financially unviable to provide childcare for under-3s, as the free preschool scheme is more “predictable”, offering a guaranteed income with lower staff costs.

After-school care also provides a far better return than providing under-3 care.

Daycare providers are seeking to have all childcare services exempt from commercial rates. Currently, rates exemption applies only to free preschool or the early childhood (ECCE) year. Some private creches pay annual rates of up to €24,000.