State to buy buildings for new low-cost childcare centres as Mayo demand grows

The Department of Children, Disability and Equality has secured funding for approximately 800 childcare centres, with buildings to be provided to childcare operators who will run the services on a not-for-profit basis. Each facility is expected to deliver more than 100 places.

Minister for Children, Disability and Equality Norma Foley is due to brief Cabinet on the plans, with formal approval expected next week.

The first phase of the programme will focus on acquiring and refurbishing existing properties, which officials believe will allow centres to open more quickly than building new facilities that require full planning permission. However, new builds may also be developed as the programme progresses.

The initial priority will be for children aged between one and three years, where demand for childcare places is highest. Disadvantaged and rural communities with limited childcare options will be targeted in the early stages.

Fine Gael TD for Mayo Keira Keogh said the move aligns with growing demand for affordable childcare in counties such as Mayo, where uptake of childcare supports has increased significantly in recent years.

“Subsidies within the scheme substantially reduce the cost of early learning and childcare and I’m very pleased that in our own county of Mayo, 5,944 children benefitted from the scheme last year,” she said.

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Deputy Keogh said it is essential that new investment complements existing providers and protects local childcare services.

“We must support private childcare providers here in Mayo,” she said. “Private providers play a vital role in delivering high-quality early learning and childcare, and we need to enable them to remain in the market. They are essential to meeting local demand and supporting working families.”

Once buildings are secured, the State is expected to tender for operators to manage the centres on a not-for-profit basis, with the aim of delivering affordable, high-quality childcare in local neighbourhoods while increasing overall capacity.

The acquisition process is expected to begin this year, with up to 800 places potentially available by early 2027, depending on the speed of purchases and refurbishment works.

Funding of €177 million has been allocated for the initiative over a five-year period under the Department’s spending plan. Officials say the investment reflects growing pressure on families facing high childcare costs and limited availability of places in many parts of the country.

The programme represents a significant shift toward direct State involvement in childcare provision as the Government seeks to stabilise supply, improve affordability and maintain consistent quality standards nationwide.

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