The Minister tasked with rolling out the Government’s subsidised childcare package has insisted it will be initially aimed primarily at low-income families.

Minister for Children Katherine Zappone denied she was being kept in the dark as alternatives to her plan were discussed by others in the Government.

She repeated that her proposal, expected to be announced on budget day but rolled out over a number of years, will first target children living in poverty.

Ms Zappone also said her negotiations with Minister for Public Expenditure Paschal Donohoe had been amicable yet firm.

The Irish Times reported yesterday that Ms Zappone was not informed that alternatives to her proposed scheme, which was criticised by Fine Gael TDs for neglecting the "squeezed middle" – those earning between €32,800 and €70,000 – were mooted in budget talks.

Discussions

“I am having very honest, firm, amicable discussions with Minister Donohoe and he is well aware of my desire as we put in place this radical new path that is really an opportunity to target more effectively children who are living in poverty, households where they are experiencing levels of poverty.”

Alternatives to this approach were discussed – unbeknown to the Minister – as recently as late last week, when concerns about the plan were being raised.

Ms Zappone’s scheme, as outlined to a Cabinet subcommittee, suggested the initial steps would focus on families in lower income brackets.

A presentation to a Cabinet subcommittee in recent weeks used an indicative figure of €47,000 parental income but Ms Zappone yesterday said this was just an example.

Indicative figure

“That is just a possible figure, an indicative figure and it is also a figure that relates to the net income of household and middle-income earners, you are really talking more about CSO statistics in individuals earning between €25,000 and €50,000.

“It would well capture many families that are in middle-income households.”

One of the alternative options discussed was rolling out subsidised childcare over a number of years based on the age of the child.

For example, in the first year it would cover children aged up to 12 months before being broadened over time to cover those aged up to three years, when they can avail of free preschool care.

Sources said such a proposal would have income limits, meaning it would not apply to the State’s wealthiest people.

Ms Zappone said her approach “will bring us on a radical new path in relation to the ways in which the State subsidises the childcare needs of the families that yes, there is a focus initially for those who are on low income”.