Next month's Budget may contain improved tax exemptions aimed at the State's estimated 37,000 childminders, Minister for Children Brian Lenihan signalled yesterday.
Mr Lenihan conceded that the scheme introduced in the last Budget - which allowed childminders to avail of a tax exemption on earnings up to €10,000 - had not been a success.
Only 300 childminders have registered for the exemption, which has been criticised by childminding groups who say the earnings threshold is too low.
While declining to comment on what childcare measures would be in the Budget, he said the issue of childminders' tax exemptions was being examined.
Mr Lenihan also said the Government was keen to work on ensuring that children from less advantaged areas were able to access a year of high-quality pre-school education. Latest estimates suggest that 40,000 children are not receiving any.
It was the ambition of the Government that all children would receive at least a year's early childhood education, he said.
The Minister was speaking at the launch of details of Government spending on childcare next year. The childcare allocation - which has received a 46 per cent increase over the past year - will focus on providing more childcare places and training for childcare workers. He declined to comment on whether there would be any increase in child benefit or the €1,000-a-year childcare supplement.
On the issue of childminders, the tax exemption has been criticised as an unrealistic earnings threshold. If an individual earns just €1 above the €10,000 tax-exemption limit, for example, the entire childminding income becomes subject to tax. The average childminder earns about €200 per child per week.
To avail of the incentive, childminders must also notify their local county childcare committee that they are providing a childminding service. Many fear this could be the first step towards regulation and inspection.
Meanwhile, the Minister also expressed his support for holding a "double referendum" on children's rights and introducing stronger child protection measures before the general election.
This follows a report in The Irish Times over the weekend which said Government officials were planning such a move.
Mr Lenihan told reporters yesterday there was a possibility that the two issues could be "bundled together" in a single referendum.
He said he hoped it would be held before the next general election. However, he said the Government had not yet agreed a specific date. Well-placed sources say Ministers want to hold a referendum in March of next year.
The consultation process on the wording of the planned referendum on children's rights has already begun, he said.
