A "flagship" childcare facility on Industrial Development Authority (IDA) land in Galway is facing closure, just three years after it was opened by Minister for Children Brian Lenihan.
Lack of tax incentives for parents who select "educational childcare" has been cited as the main difficulty by Veronica Stephens, owner of "The Ark" early years care and education centre in Galway's Parkmore IDA business park.
Ms Stephens also says new planning regulations requiring one community creche for every 70 new housing units has encouraged "home-based operations" which are competing with her facility.
The nursery was one of the first of its type to be developed on an IDA park when it opened in 2004, as part of a strategy announced by former enterprise minister Mary Harney. Under the strategy, five applicants were selected for IDA business parks in Athlone, Galway, Tullamore, Kilkenny and Cork, and all were given the opportunity to purchase a site under set conditions.
Ms Stephens bought her premises and developed at a cost of €1.1 million a creche designed to accommodate 108 full day care places and up to 35 staff.
Senator Margaret Cox, formerly Fianna Fáil and now an Independent candidate, called for interim measures to prevent the closure, and for legislation to be reviewed.
A spokeswoman for Mr Lenihan said the planning requirement on community creches was being applied in a "flexible manner" to ensure there was not surplus provision.
The IDA said similar facilities in its business parks in Athlone, Co Westmeath and Tullamore, Co Offaly, were working well.
