Parliament approves rise in child care allowance to €280

The maximum child care allowance for parents with children aged up to three years is set to increase from €230 to €280, providing day care is provided in a private facility or by a licensed professional. This is according to a bill that Parliament approved on Wednesday. According to the Labour, Social Affairs and Family Ministry, the increase in sum takes into account the actual cost that parents incur in having their children looked after by a facility or sole trader. The ministry's figures indicate that parents paid an average of €272.66 for day care for their children in February 2015 - up from €269.88 a year prior. "The proposal to increase the allowance to €280 also stems from the fact that since 2011, when the allowance was increased to €230, social care costs have increased by some 21 percent up until 2014 according to the Statistics Office. This is on par with the proposed increase in the child care allowance", says the ministry. Meanwhile, the allowance will remain at €41.10 in the event that a child is looked after by a family member or non-professional day care provider. The ministry envisages the favourable effects of the higher allowance to help balance the lives of parents, as well as create more jobs in day care. "The bill also lays the groundwork for increasing employment, particularly among women, with retaining one's job or alternatively a successful return to the job market", stated the ministry.