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"This is about children" - Finance Minister defends extra payment for creches

Finance Minister Paschal Donohoe has defended the extra payment being provided to childcare provi...
Stephen McNeice
Stephen McNeice

08.46 20 Dec 2019


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"This is about children&q...

"This is about children" - Finance Minister defends extra payment for creches

Stephen McNeice
Stephen McNeice

08.46 20 Dec 2019


Share this article


Finance Minister Paschal Donohoe has defended the extra payment being provided to childcare providers, amid calls for similar support for other sectors.

It was confirmed earlier this week that creches and childcare providers would receive an additional once-off payment, averaging €1,500 per provider depending on their service size.

The move was announced amid concerns in the sector over the cost of insurance premiums, following the withdrawal of one of the major insurers from the Irish market.

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However, the announcement has led for calls for similar interventions from the Government for other sectors and businesses facing rising costs.

The Alliance for Insurance welcomed the announcement of a "temporary solution" for under-pressure creches, but said there has been "three years of glacial pace for real reform and the lack of any intervention" for others - including businesses and motorists.

Speaking on Newstalk Breakfast this morning, Minister Donohoe defended the intervention in the childcare sector.

He said: "This is about children, and it's about the childcare sector.

"I have listened to many, many different debates that have taken place regarding the need to invest more in childcare in Ireland.

"Then when [Children's] Minister Zappone makes a change during the week, it is now being portrayed as a subsidy for insurance."

He argued that the debate needs to be "consistent", and stressed that the Government has committed more money to childcare in recent years.

Minister Donohoe added: "What we cannot do, because we don't have the ability to do it, is get involved in the insurance sector here in Ireland, directly providing insurance for the economy.

"That's why we have an insurance sector that's regulated by the State, but companies themselves are private."

He also reiterated that the Government is continuing its efforts to introduce regulatory reforms for the insurance industry - including the recent formation of the Judicial Council, which will issue guidelines on injury claims and settlements.

Main image: File photo of Finance Minister Paschal Donohoe. Picture by: Sam Boal/Rollingnews.ie

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