Subsidy may see childcare costs rise

It is too soon to tell if the Government’s new subsidy for parents will push up the cost of creches, preschools, and montessoris, according to an organisation representing some 3,500 early years services.

Some parents have already received notifications that the fees charged for leaving their children at such facilities is to rise in September.

This, in turn, has lead to fears that the non-means tested subsidy of €80 per month announced as part of the new Affordable Child Care Scheme has pushed up the cost of childcare, with more children vying for places in such services, the number of which has not grown in tandem with the demand.