Leo Varadkar’s recent comments on childcare funding have been labelled “extremely disappointing”. 

Speaking to the Irish Times, An Taoiseach cast doubt on a Green Party commitment to halve the cost of childcare over a two-year period. 

Mr Varadkar said reducing the cost of childcare for families is a key priority but said that the Government was concerned a large increase would end up “stoking inflation”. 

“I am not sure we can go as far [as a] 25% [reduction in cost] in the next [budget],” he said. 

“But it certainly is our intention to bring about a further meaningful reduction in the cost of childcare for families.”

'An investment'

Speaking to The Pat Kenny Show, Sinéad O’Moore of the Stretchmarks podcast said the cost of childcare was “a massive stretch for families” and the Taoiseach’s remarks were “extremely worrying.”

“It’s an investment now that yields future gains for the Government,” she said. 

“It has future gains for the economy, for people’s working income now but also their pension contributions, for their career path. 

“It locks a certain cohort of women out of returning to employment and what does that do for their long-term careers? 

“What does that do for the long-term system of society?” 

Tigers Childcare CEO Karen Clince said childcare facilities’ costs are currently “not sustainable”. 

“We need Government to move in line with inflation and I suppose wage inflation is our largest inflation - it’s our largest cost, 70% of our cost,” she said. 

“However, all of our costs have gone up; our administrative costs, our hiring costs, our utilities. 

“Everything has gone up and Government need to understand that.” 

Ms Clince also said the problem was more acute in certain parts of the country. 

“The cost of living in cities is higher and I suppose that pushes up wage inflation,” she said. 

“You do see a divide between the east and the west coast but all providers do have wage inflation. 

“It’s just more concentrated in those areas.” 

Budget 2024 will be announced in October 2023.

Main image: Taoiseach Leo Varadkar outside Government Buildings