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Everything parents need to know about the upcoming childcare cost changes
Published 10:04 7 Oct 2026 BST
Add us as a preferred source on Google »Parents are set to get some relief on childcare costs following yesterday's Budget announcement.
It was confirmed on Tuesday, October 6th, that there will be a new €550 monthly cap.
The government has confirmed that the maximum amount parents will pay for childcare will fall from the current €735 per month to €550.
The new cap will apply to children up to Senior Infants and is expected to come into effect from September 2027.
This means families could save up to €185 a month, or €2,220 a year, per child.
The measure forms part of a wider package of supports for those availing of childcare services in Ireland, with the government saying it wants to make childcare more affordable for families.
The weekly rates of the Child Support Payment will also increase by €6 per week for children under 12, while the income threshold for the Working Family Payment will rise by €30 per week.
The government has also announced changes to the Childcare Services Relief, increasing the tax exemption for childminders from €15,000 to €20,000.
Tanaiste Simon Harris said the measures were designed to provide more permanent support for households dealing with the cost of living.
