Madrid authorities have finally finished processing applications for preschool subsidies for the 2025–2026 academic year. Parents whose children attend private kindergartens had to pay for four months out of pocket, unsure if they would be reimbursed. Now, nearly 34,000 families will be able to recover their expenses as they have been granted retroactive payments.
The issue of these subsidies has been under discussion for more than a year. In 2022, the regional government changed the income criteria, allowing even families with annual incomes over €100,000 to qualify for support. As a result, the number of recipients has grown this year, and the rules have become more flexible. To receive the payment, it was enough to have a certain number of points and an income below the specified threshold.
Delays and consequences
The Madrid Association of Private Early Childhood Centers (ACEIM) notes that delays in payments led to real problems. Some families had to give up spots in kindergartens because they could not afford tuition without the promised support. Children were unable to start attending on time, and the centers themselves struggled with planning and hiring staff.
The regional administration admits such delays are unacceptable. Last year, officials promised to speed up the process so parents would know the decision before the school year began. However, in practice, deadlines were missed again, and families only received responses in December.
External management and criticism
The situation has been further complicated by the decision to outsource application processing to third-party companies. More than a million euros were spent on these services, with about 140,000 allocated as subsidies for preschoolers. Despite this, parents were left in the dark for a long time, receiving no information about the reasons for the delays or when to expect a decision.
The subsidies are intended for children born before January 1, 2026, who are already enrolled in or have a reservation at private preschools. Parents and education representatives have repeatedly voiced frustration over the lack of transparency and clear timelines. They had to settle for vague assurances that payments would come ‘soon,’ without any specifics.
Changes to the rules
In 2022, Madrid authorities significantly expanded eligibility for subsidies. Now, even families with annual incomes above 100,000 euros can apply if they have one child. For families with two children, the income cap is nearly 144,000 euros, and for those with three children, almost 180,000 euros. The per capita income is calculated by dividing the total household income by the number of household members.
As a result of these changes, the maximum income threshold for receiving subsidies has risen by dozens of percent compared to previous years. For example, for Bachillerato, it increased by 259%; for vocational education, by 80%; and for preschool, by 44%. This year, the budget for preschool subsidies reached 67.3 million euros and was fully spent.
Social criteria and new approaches
For the first time this year, applicants can no longer receive extra points for difficult social situations. Previously, such cases were assessed by social services and could add two points to an application if the family faced special hardships. However, administration officials stated that this criterion was never a decisive factor in distributing aid.
As for payments to high school students, authorities have changed their approach this year after criticism: now not only family income but also academic performance is taken into account. This is expected to make aid distribution fairer and more targeted, especially for low-income families.
