Dáil Éireann debate -
Wednesday, 13 Mar 1991

Vol. 406 No. 4

Written Answers. - Third Level Education Grants.

John Connor

Question:

42 Mr. Connor asked the Minister for Education if, taking 1981 as the base year and accounting for all years to the end of 1990, she will outline the erosion in purchasing power or real value of third level education grants funded by her Department expressed in terms of parents' income and other family dependants, necessary to qualify for maximum and minimum grants at 1 October 1981 and 1 October 1990.

Minister for Education (Mrs. O'Rourke)

Based on indices provided by the Central Statistics Office, the consumer price index increased by 74.2 per cent between 1981 and 1990. Between 1981 and 1990 the value of a higher education grant payable at the maximum rate increased by £1,476 from £1,592 to £3,063. This represents an increase of 92.7 per cent. In the same period total expenditure on higher education grants increased from £3.4 million to £27.2 million, that is to say an increase of the order of 700 per cent. In the case of a family with one or two dependent children, the income limits in order to qualify for the maximum rate of grant have been increased by 31.4 per cent.

The means test tables are so framed as to give greater financial assistance to students from low-income families. The real value of a higher education grant has been maintained at a level of approximately 18 per cent ahead of the consumer price index in the period in question. Moreover, income eligibility limits have been increased in line with the CPI each year since 1985. In addition, I wish to point out that in the Programme for Government 1989 to 1993, the Government gave a commitment that income eligibility limits will continue to be index-linked.

All students qualifying for a maintenance grant automatically qualify for payment of full course fees. The fees payable under the scheme have increased in line with fee increases generally and so grantholders are unaffected by the fee increases during the full period of their third level courses.