asked the Minister for Education the estimated saving to his Department as a result of the decision to increase university fees next year; and the areas in the education system where the resources concerned will be deployed.
Ceisteanna—Questions. Oral Answers. - University Fee Increases.
25.
The allocation of funds for the purpose of current expenditure in the case of the universities in Vote 35 for the financial year 1979 is based on the assumption that there will be an appropriate increase in university fees as there has been in previous years. The allocation as made in subhead A2 for 1979 at £33,402,000 exceeds that for 1978. Accordingly there is no saving in the subhead consequent upon the anticipated increase in the university college fees.
Does the Minister seriously expect people to believe that an increase of 25 per cent in the fees for first-time students is appropriate in 1979?
The Government have so decided. I should like to point out that there was an increase of 16 per cent in 1976-77 and an increase of 16 per cent in 1977-78, which increases did not attract a protest from the Deputy.
Does the Minister not accept that the 25 per cent increase he is bringing in for new students is considerably in excess of anything even the Government are prepared to allow for in the way of inflation in the coming year?
In the provision I am making for third-level education, in the increase in eligibility limits, in the substantial increase in grants which are now 100 per cent greater than when I came into office, I am trying to deal with this situation.
Does the Minister not accept that in making a distinction between new students this year who will be charged 25 per cent extra and existing students who will be charged 10 per cent extra he is making a discrimination between students based solely on their age? How can he justify that from the point of view of education?
The question does not refer to the numbers of students. The question refers to savings. I am asking the Minister to answer Question No. 26.
I accept the ruling of the Chair that we are talking about savings. In his initial reply the Minister stated there would not be any savings. Will he tell the House if he is making a profit out of it?
I stated in my reply that a sum of £33,402,000 is allocated for subhead A2 for 1979 and that exceeds the sum for 1978. Consequently, we are not saving money on third-level by increasing fees. We are making more money available for third-level education.
(Cavan-Monaghan): Will the Minister state the percentage increase in the fees from next October and the percentage increase in the maximum grant from the same date?
That is a separate question.
The percentage increase in fees is 10 per cent for existing students and 25 per cent for future students. The grants have been increased by 100 per cent since 5 July 1977.
(Cavan-Monaghan): That was not the question I asked the Minister. New students are having their fees increased by 25 per cent. Will the Minister tell us what is the increase in the grant from next year as compared with this year?
The percentage increase in the grant for maintenance is 20 per cent but I would draw the attention of the Deputy and the House to the fact that the fees are paid in full by the holder of a full grant.
(Cavan-Monaghan): Am I not right in thinking there will be a net loss to the students as from next year, that they will be 5 per cent worse off?
No, they will not.
(Cavan-Monaghan): I think they will.