Ireland ranks among the lowest of European countries in terms of State support for family services such as childcare, early education and health, says new research.
While the State compares well with other European countries on child income support, the lack of back-up for family support services results in increased hardship for low-income families.
The findings are contained in an analysis of income support packages in 22 industrialised countries by Combat Poverty, the State's advisory body on tackling social exclusion.
Its director, Helen Johnston, said the lack of support for childcare and health costs were of particular concern. Net childcare costs in Ireland are the highest in Europe, with a net monthly outlay of €570. Healthcare costs are the second highest in Europe at an average of €54 a month.
Ms Johnston said: "Lack of childcare facilities leaves many low-income families with little realistic choice as to whether to stay at home and raise their children and rely on social welfare as their main income source, or to engage in education, training or paid work outside the home."
The agency's report sets out a number of recommendations to provide better support for these services.
Minister for Social and Family Affairs Séamus Brennan said he would examine the recommendations as part of measures under consideration to tackle child poverty.
The measures, to be announced later in the year, are likely to include a second-tier child benefit, targeted at the estimated 60,000 to 120,000 children affected by poverty, in the form of grants for childcare.
Mr Brennan said he hoped that some of the new measures would be contained in the forthcoming budget which would go further in addressing the "blemish" of child poverty.
"I am not interested in further lengthy debates or waiting for the outcome of more exhaustive research again to identify the problem. We know the problem. We know the reality."