The proposed boost to the childcare subsidy will be scrapped if crèches increase prices a planned, Children’s Minister Katherine Zappone has warned.

The Minister wants to increase the Early Years supports budget by up to €150 million but Finance Minister Paschal Donohoe has warned this might not happen if it’s found that childcare providers are over-charging parents.

The Affordable Childcare Scheme goes live today and parents of children aged up to three years are entitled to a grant of €80 per month.

A separate means-tested subsidy for children up to 15-years-old will also be extended.

The money is paid directly to the childcare provider, who is then expected to deduct it from the family’s fees.

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