The Federation of Early Childhood Providers is criticising the plan, saying the group is being ignored.
Childcare fee caps for Core Funding Partner Services are set to be lowered next year.
The Minister for Children has today launched phase one of the Early Years Action Plan, which is eventually aiming to cut fees to a maximum of 200 euro a month.
The new lower cost levels will be announced in 2026, while the allocation for Core Funding is being increased to 482 million euro.
The Federation of Early Childhood Providers is criticising the plan, saying the group is being ignored.
The criticism comes as parents have been warned that more creches throughout the county will increase fees in the new year as more providers plan to withdraw from the Government’s Core Funding scheme.
Kfm News recently reported how parents of children who attend a Newbridge creche have been told to prepare for major childcare price increases next spring after Play and Learn Childcare and Education became the latest provider to withdraw from the scheme.
Some parents are now concerned that they may have to quit their jobs as fees will become unsustainable.
Under the current funding model, Elaine Dunne, Chairperson of the Federation of Early Childhood Providers, says newly opened childcare services can charge up to €354 per week for full-time care - or €295 for 40–49 hours - and still qualify for the full Core Funding allocation.
In contrast, long-established providers operating under the older fee structure are tied to much lower weekly rates: €243.30 for wobblers and €233.37 for toddlers and preschoolers.
Dunne says the industry is struggling.
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