The National Childcare Scheme opened in November 2019. It supports families with children aged between 24 weeks and 15 years who are attending any participating Tusla registered childcare service, including any Tusla registered childminder.
From 2 September 2024, the minimum rate for the National Childcare Scheme (NCS) subsidies will increase from €1.40 to €2.14. The increase, which was introduced by Minister Roderic O’Gorman as part of Budget 2024 measures, means that if parents are in receipt of a subsidy which is less than the maximum, they will receive a higher subsidy towards their childcare fees.
There will be no change to the sponsor rate for children aged 0-52 weeks.
The remaining sponsor rates will have the max rate increased to €5.30 as demonstrated below.
Awards will be recalculated with this new rate and updated accordingly.
How will this affect awards and claims?
Universal Awards – these will be updated with the increased universal rate for the remainder of the award.
Income Assessed Awards – where the income was assessed within the income thresholds and an award was generated, these will be recalculated, and an increased rate may be applied for the remainder of the award.
Those at €26,000 and below are already on the highest levels of subsidy and therefore no further increase will apply to their subsidy.
Income Assessed Awards (Over Threshold) – where the income was assessed as over the €60,000 threshold, an award with a universal rate would have been generated. These will be updated with the increased universal rate for the remainder of the award.
Sponsor Awards – awards for sponsor children aged 1 or over will have their award updated with an increased max rate for the remainder of the award. There is no change to sponsor awards for children under 1 year of age.
Claims will automatically be updated with the new rate for these applicants. There will be no need for parents to confirm these claims again, however if parents have not yet confirmed their claims, they will still be required to do so. Claims must be confirmed by the applicant before payments can flow to the provider.
Important: It should be noted that where rates change, the parents’ co-payment must be updated, and the parent informed.
Guidance
All NCS child registration guidance available on the Early Years Hive in the Help & Support section will be updated in advance of this change.
We will provide a tool on the Hive highlighting the affected claims. More information on this tool will be made available closer to the time. Further communication reminding you of this change will also be issued closer to the date.
Support (Childcare Services Only)
If you need further support, please raise a Service Request on the Hive using the following dropdown options:
Parents seeking support in this regard should be advised to contact the NCS Parent Support Centre on 01 906 8530, Monday to Friday 9am-5pm, or to visit www.ncs.gov.ie. Alternatively you can email us here at South Dublin CCC: info@southdublinchildcare.ie and we will have a Development Officer contact you.
The Universal subsidy is available to all families with children under three years. It is also available to families with children over three years who have not yet qualified for the free preschool programme (ECCE). The Universal subsidy provides 50c per hour towards the cost of a registered childcare place for up to a maximum of 45 hours per week
An Income Assessed subsidy is available to families with children aged between 24 weeks and 15 years using Tusla registered childcare. This subsidy is means tested and will be calculated based on individual family circumstances. The subsidy rate will vary depending on the level of family income, a child’s age and educational stage, and the number of children in their family. The subsidy can be used towards the cost of a registered childcare place for up to a maximum of 45 hours per week where parents are working, studying or training, or in circumstances where a parent is unavailable to care for a child.
Where parents are not working, studying or training, the subsidy will be paid for up to a maximum of 20 hours per week. In all cases, the maximum subsidised hours are inclusive of time spent in school or pre-school
In addition to the two types of subsidy available under the Scheme, there is a system for addressing the needs of families who require particular additional assistance. For example, in the case of families for whom childcare is required on child welfare or child protection grounds, or for whom childcare is a necessary element of family support, a specified statutory body (“sponsor body”) may refer a child to the Scheme for childcare support.
Where a referral is made by a sponsor body, the family will automatically qualify for a subsidy without having to satisfy the Scheme’s eligibility, income or maximum hour requirements. Details on the operation of sponsored referrals are available on the website www.ncs.gov.ie
Subsidies will typically be awarded on a yearly basis. Providers and parents will receive a notification alerting them when a subsidy is due for renewal. If either a parent or a provider is not satisfied with, for example, a subsidy award or the amount of the subsidy paid in respect of a child, the parent or provider, as appropriate, will have the right to have the decision reviewed by an officer of the Scheme Administrator.
If they are still not satisfied following the outcome of the review, they will have a further right of appeal for details available on the website www.ncs.gov.ie
The National Childcare Scheme is designed to be flexible, recognising that childcare needs are different for each family. Subsidies are awarded as an hourly rate, along with a maximum number of hours for which this rate is payable. The award is then broken up into segments, which show any changes to the subsidy rate and hours over the course of the year, such as a change in the child’s age or educational stage.
The hourly rate of subsidy illustrates to parents their level of subsidy. Parents and providers will continue to work together as they currently do to decide on the hours of childcare that are needed and can be provided. These hours are a combination of what a parent needs and what a provider can reasonably offer. Providers will continue to set their own fees, sessions and admissions policies. The hours of childcare available to parents are solely at the discretion of each provider. The hourly subsidy rate can be applied to the hours agreed between the parent and provider. Where these hours are the same as the maximum hours available to the parent under their subsidy award, all of the hours of care will be subsidised.
For example, where a parent has been awarded 45 hours and has agreed 45 hours of childcare with their provider, then all 45 hours will be subsidised. Where the hours agreed are greater than the maximum hours available to the parent under their subsidy award, the remaining hours of care will be unsubsidised and paid for in full by the parent.
Where a referral is made by a sponsor body, the family will automatically qualify for a subsidy without having to satisfy the Scheme’s eligibility, income or maximum hour requirements. Details on the operation of sponsored referrals are available on the website www.ncs.gov.ie
Subsidies will typically be awarded on a yearly basis. Providers and parents will receive a notification alerting them when a subsidy is due for renewal. If either a parent or a provider is not satisfied with, for example, a subsidy award or the amount of the subsidy paid in respect of a child, the parent or provider, as appropriate, will have the right to have the decision reviewed by an officer of the Scheme Administrator.
If they are still not satisfied following the outcome of the review, they will have a further right of appeal for details available on the website www.ncs.gov.ie
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South Dublin County Childcare Committee © 2021
