98% of community early years services at financial risk

Nearly 100% of community-run early year services in Cork City and south Co Dublin area are at financial risk.

Breaking Point, a report published yesterday, surveyed 49 early years services based in the communities in the two areas.

The report reads: “98% of services are experiencing financial risk with 49% experiencing moderate to extreme risk.”

Other findings included that 59% of services had a deficit in their previous set of accounts and 29% had access to only enough cash to last them 90 days.

It also found that staff in the services were extremely poorly paid, as 73% of those surveyed employ early years practitioners at less than a living wage of €11.50 per hour.

The majority of participants in the survey are delivering community services in disadvantaged areas or assist children facing challenges.

For example, 34% of children attending these community-based early years services in Cork City and South Dublin County come from lone-parent families.

Minister for Children and Youth Affairs Katherine Zappone spoke at the launch of the report yesterday.

“It is alarming that 98% of community providers who responded to your survey are experiencing financial risk,” said Ms Zappone.

“The average hourly rate of pay of €11.12 is also unacceptable, as is the finding that 58% of childcare workers are part-time.

“These figures are why we must change childcare forever.”

Ms Zappone assured community-based childcare professionals that next week’s budget will bring about change.

“Our sector needs an investment of €600m — a figure which cannot be obtained in a single budget but is achievable over five or six years. Budget 2017 must take significant first steps towards an affordable, accessible, quality childcare service — one which is no longer known as being among the most expensive in the world but instead for being the best in the world.”

The main change will come in the form of the single affordable scheme.

Ms Zappone explained this scheme as providing a “robust platform for future investment”, which ensures that childcare is “more affordable for those who need it”.

She said that the targeted commencement date was next September.

Ms Zappone also assured childcare professionals that the Government, despite media reports to the contrary, was in agreement on the need for reform the provision of childcare.

“However, what the headlines have failed to capture is the acceptance across the political divide that the current system of childcare is not working and must change,” said Ms Zappone. “This political agreement should give us hope.”