Summer Childcare costs: Advice NI warns of families struggling to cope

As summer approaches, the spotlight is once again on the financial strain that summer costs impose on local families, with childcare costs steadily increasing and the cost of living continuing to negatively affect household budgets. Advice NI warns that the real cost is growing debt across Northern Ireland as parents are increasingly forced to borrow to cover increased expenses over the summer holiday period.

The NI Childcare Survey 2024, commissioned by the Department of Education and published this month, reveals that 43 percent of children were likely to have different childcare needs during school holidays compared to term time with 35 percent of all children aged up to the age of 11 needing paid holiday childcare provision.

The survey also reports that the average monthly payment per child for holiday childcare costs was £350, rising to £542 for children in 31-40 hours of childcare, and ranging greatly depending on the local Council area. Nearly half of all households surveyed (48 per cent) said that childcare was currently unaffordable.

Sinead Campell, Head of Money, Debt and Quality at Advice NI, says, “Calls to our debt service from worried parents spike at this time of year. It’s no longer calls from single parents or low-income families – we’re increasingly hearing from middle and higher-income households struggling to stay afloat too.

“With the cost of living continuing to hammer Northern Ireland families, and providers increasing childcare costs fees to meet their own operational pressures, it’s not uncommon for families to rely on credit cards, loans, overdrafts, or their savings to make it through the summer, putting them in a vulnerable position as we enter the expensive Back to School season. Last year, we dealt with nearly £14,000 in childcare debt.

“We need to remember that when school resumes, the financial impact of the summer continues to loom over working parents, with many likely to have not addressed the issue before the next holiday period comes around, creating a challenging cycle.”

Childcare costs

Laura Wilson is a single mum of four based in Belfast. Both her and her ex-partner are in full-time employment. She says, “I don’t know how people are coping. We both have well paid jobs and are struggling. Childcare per week for our four children works out at £700 and that is with the cheapest childcare option available to us. I take three weeks annual leave over the summer to spend time with the kids, and we go camping, or to parks, or have picnics to keep costs down, but even the smallest cost is too much.

“The pressure of getting by is impacting both our mental and financial health. Reducing work hours does not really benefit us as we still have other bills to pay – mortgage, rates, electricity, heating, car insurance, tax, MOT, diesel, food. Debt is just part of both of our lives now and something we have to accept.”

Sinead continues, “If childcare remains unaffordable to the point that parents are continuing to take on debt, it could deter parents from participating in the workforce, potentially exacerbating poverty and gender inequality. We need interventions that consider both the immediate pressure points, and the long-term implications, to provide a lasting lifeline. This will only come with a costed childcare strategy that accommodates all working patterns.”

The charity welcomes the Department of Education’s new £55m package including an extension of the Northern Ireland Childcare Subsidy Scheme for primary school children from 1 September 2025.

However, as Sinead highlights, the change is unlikely to ease the burden for most families across Northern Ireland.

Sinead concludes, “Whilst we welcome the Executive’s continued efforts to enhance supports and are glad to see the issue continually debated across the sector, we need to remember that this change doesn’t come into effect until after this year’s summer holidays meaning the coming months will remain a pressure point for families. Many of the people we speak to have never been in debt before – this is new, and deeply stressful territory for them.

“We would encourage parents to make sure they are receiving all the financial support they are entitled to, and if anyone is struggling with their finances or debt, contact our expert debt advisers who will provide advice and support. The Money Talks Hub on our website also offers free online tools to help with budgeting, including affordable grocery shopping ideas.”

In 2024/25, Advice NI’s debt service, which is supported by the Department for Communities, dealt with 3,481 people with debts amounting to £39.1 million. To contact Advice NI for free, confidential and impartial advice, call the Freephone helpline on 0800 915 4604 between 9am and 5pm Monday to Friday, or visit adviceni.net.