23rd July 2026
Has extra childcare support been cancelled out by rising prices?
There have been a number of recent NI Assembly Questions highlighting the fact that rising childcare costs could be cancelling out the additional savings that were introduced for parents through the Northern Ireland Childcare Subsidy Scheme.
It is well recognised by everyone that prices for all goods and services have been rising steadily, with the conflicts in the Middle East having a particular impact on the cost of oil and gas. In addition to that, employers also must deal with increases in the National Minimum Wage and employer National Insurance. Childcare providers cannot be immune to these rising costs and therefore are having to pass these costs on to parents in the form of increased childcare bills.
How have childcare costs changed?
Data gathered by the Department of Education as part of their ongoing monitoring of the Northern Ireland Childcare Subsidy Scheme (NICSS) shows that the average daily fees of day nurseries increased by approximately 17% between 2024, the year that the NICSS was introduced, and 2026 (9% in 2024-25 and 8% in 2025-26).
As NICSS is paid as a percentage of childcare invoices, increases in childcare fees therefore result in higher NICSS expenditure. Analysis of the NICSS data indicates that approximately 12% (approximately £2.2 million) of total subsidy expenditure in 2025-26 related to fee increases introduced in April 2025.
Based on the childcare fees reported by over 90% of registered Day Nursery providers in Northern Ireland, the median full-time daily childcare fee in April 2026 was £62. Most of the reported costs were falling between approximately £56 and £69 per day, with the lowest being £31 per day and the highest £90 per day.
Day nurseries were asked to report their ‘full-time daily fee’ before any discount or other support is applied, however it should be noted that the number of hours covered by a ‘full-time’ place may vary between providers.
Where did this information come from?
The data used was gathered as part of the Department of Education’s ongoing monitoring of the Northern Ireland Childcare Subsidy Scheme (NICSS), a recurring data collection exercise which is in place to gather information on childcare fees directly from registered providers. The most recent exercise has captured fees as of April 2026, with the initial focus placed on daycare nursery provision, as this represents the largest concentration of childcare places and NICSS expenditure and almost 80% coverage of the Northern Ireland childcare sector. Analysis of the data and further information was provided to NI Assembly members in answers to Assembly Questions which are available at www.niassembly.gov.uk/assembly-business/questions/