PARENTS WITH A child in full-time childcare will save at least €1,000 a year as part of Tuesday’s budget. 

The childcare package aims to target children aged under seven as this is the age cohort where parents are paying the most in childcare fees. 

The increase under the National Childcare Scheme will benefit children in early years’ education, as well as junior and senior infants.

Discussions on the cost of childcare were continuing in Government Buildings late into Sunday evening, with The Journal understanding that “good progress was made” on the childcare package. 

It is understood that talks on childcare will continue on Monday, with sources stating there will be a final push for more progress before final sign-off before Tuesday’s budget announcement. 

Aside from children under the age of seven, after school fees parents pay for older children will also be cut, with the government moving to ensure that providers cannot charge over a certain amount. 

As part of the budget package, funding for another wage increase for those working in the childcare sector is also on the cards.  

Budget negotiations were underway for much of Sunday, with childcare, social welfare and taxation, as well as aspects of transport under discussion. 

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Apart from childcare, a €10 increase in the State pension and core welfare payments are expected to be announced as part of the budget, along with a €500 disability lump sum payment.

Submissions on housing and tax matters are understood to have been submitted to the Department of Finance, with some within the government hoping that some tinkering can be made on stamp duty for first-time buyers.

Finance Minister Simon Harris has repeatedly said it will not be scrapped, but it is understood some are arguing for a cap of the charge. However, sources have said this is “unlikely” as of now. 

Speaking to the media ahead of his speech at the annual Fianna Fáil Cairde Fáil event in Dublin on Saturday night, Taoiseach Micheál Martin indicated there will be no further increases on carbon tax on home heating oil and kerosene.