Govt cut childcare payments by €10 a month

Childcare payments are to be cut by almost €10 a month from May, the Government announced today.

The age limit for qualifying children will also be reduced from the present five-and-a-half years to five-year-olds and under.

The Early Childcare Supplement (ECS) will drop from €1,104 to €996 a year, or from €92 to €83 a month.

Children’s Minister Barry Andrews said the measure would deliver €77m savings to the Government’s cost-cutting package.

“The immediate need to cut public expenditure has resulted in the need to make difficult decisions,” he said.

Mr Andrews claimed the cuts were the fairest way of delivering public spending savings needed because of the present economic crisis.

“The financial payment has returned to just under the amount paid when the ECS was first introduced in 2006,” he said.

“Although, the changes to the scheme will result in a reduction of the total amount paid to parents of children under five years, the integrity of the ECS has been maintained and will continue to provide a welcome support to parents in these difficult economic times.”