I have to agree here with the previous posters. Tough love is needed, and the priority needs to be on repaying your parents and of course the Credit Card. In order to do that, you need to free up some cash where you can.
Shop in Lidl / Aldi: I shop here every week and I have to say I really don't notice a difference in the quality. I absolutely see a difference in my pocket though. Shop smart and meal plan. For example, there are two of us. I buy carrots, onions, peas, potatoes and Mince - voila, a Shepards Pie - and it has about 6 portions in it. We have two portions and freeze the remaining for another 2 nights dinners. Thats 3 meals sorted for two people for around 6 euros. I do the same with Lasagne, for about the same cost. you need to plan for lunches too - no doubt (and I don't mean this in a cruel way, I just know from experience and having been where you are now) you are both eating out on some occasions for lunch. This really adds up every week and should be the first to go. The baby items in Aldi's and Lidl are good too, and at the end of the day, a nappy is going to be full of you-know-what regardless of the price of it. You can easily get your weeks shop for your family down to 60 euros with a bit of planning and effort.
Sky: I can appreciate where you are coming from in terms of your entertainment. It was the same for us when we had debt, and I would have gone LaLa without it sometimes. But 100 Euros is a lot! We currently pay 55 euros a month and thats more than enough for us. We have anytime, which shows new movies each week, and we have the movies package, along with documentaries, music, and a lot more. The only two packages we do not have is News and Sports. Call up Sky and ask them on their best packages for good value, advise them you may need to cancel as the cost is so high. They are likely to offer you a deal on a few months half price, or a new package thats lower. You need to get this as low as you can, but I can appreciate the need for it. You can have Sky, just not every package! And if its multiroom, get rid. Enough said there.
Car loans: Can you advise if they are with the same bank? It might be possible to merge the two together and increase the term of the loan to give some breathing space. Is this a variable loan or a fixed rate?
Is it possible to downgrade one of your cars to something smaller and cheaper? This would free up some money to pay off some of the debt that is crippling you every month. You could buy a 1L car which is cheap to run all round and use the remaining money from the sale to clear the debt. Your tax and insurance costs would reduce, as would your petrol expenses.
VHI: Absolutely too high for the two of you, unless there is something we do not know about i.e. a medical condition, smoker, etc. Shop around, there are some good deals online. check if hubby's policy will allow you two to be added to it, the cost might be lower than you are paying now.
Travel Expenses: You need to look into the option of car pooling - whether thats together or with other work colleagues. Is there anyone at work that travels from your direction? I am sure they'd be happy to cut down on their costs also. Ask around, and you may be surprised. I did this for a period of time and it was nice to have company in the car and have my weekly costs reduced. At the amounts you are paying, is it an option to perhaps use public transport or cycle as one poster mentioned? The cost of a monthly bus pass would be around the cost of the tolls you pay and you would see a dramatic drop in petrol costs.
Internet: Get rid of this for now. Unless either of you do work from home, it is not needed right now and is not a priority. You can always use an internet cafe or perhaps a work PC if online access is needed.
Gas/ Electric: Do a lap of the house every morning before you leave and again in the evenings. Make sure all items are plugged out and the sockets are switched off (if those are the ones you have). Leave nothing plugged in. You would be surprised of the difference this would make.
Car Insurance: Shop around for better deals - between you both you pay 1,680 per year. You can definitely get this down. I have a 1.8L petrol car and I pay 400 a year fully comp. Hubby has a 1L car and pays about the same. Try and pay this in full if you can as it reduces the cost. I know right now this might not be an option but going forward.
Creche: As someone else mentioned, you can get this cheaper if you find someone locally who is willing to mind your baby. Keep an eye on local signs, and put one up yourself for someone. Even if the cost was reduced by 100 euros a month its something.
All of the extra money you free up needs to be directed to the credit card first as you are probably paying a large interest amount. Once this is cleared, build up that nest egg to repay your parents. Focus on one debt at a time.
All in all, you are both very fortunate. You have a nice home, a healthy baby, and two permanent positions with good wages. Are you claiming all your tax credits for refuse, etc.? Look into this. Make sure you have claimed your tax back for the last few years. Get money smart - the spending diary is a must. You will be shocked where your money is going. you can definitely free up an additional 400 a month with the above tips, and thats just between the shopping bill, sky, internet, and shopping around for better deals. All you need is focus and planning.