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Dáil Éireann debate -
Thursday, 9 Mar 2000

Vol. 516 No. 2

Written Answers. - Third Level Grants.

Ruairí Quinn

Question:

71 Mr. Quinn asked the Minister for Education and Science his views on the submission made to Government by the Union of Students in Ireland in relation to third level fees; and if he will make a statement on the matter. [7120/00]

Pat Rabbitte

Question:

86 Mr. Rabbitte asked the Minister for Education and Science his views on the submission made to Government by the Union of Students in Ireland in relation to student grants; and if he will make a statement on the matter. [7119/00]

I propose to answer Questions Nos. 71 and 86 together.

In their pre-budget submission, USI called for student grants to be brought in line with comparable social welfare payments. With 40% of third level students qualifying for maintenance grants, this demand would give rise to considerable cost, estimated by my Department to be in excess of £50 million per annum. In this regard, I intend to follow the practice of recent years and increase third level maintenance grants in line with inflation as measured by the change in the consumer price index for the period mid-February to mid-February each year. I also intend to continue the practice in recent years of increasing the reckonable income limits in line with movements in the average industrial wage. This approach will ensure that the real value of maintenance grants is maintained. The question of providing further additional increases to the value of maintenance grants can only be considered having regard to overall resource constraints and other competing demands in the education sector.

This Government has introduced a maintenance grants scheme for students attending post-leaving certificate courses with effect from the 1998-99 academic year. Furthermore, the position of mature students in general and, independent mature students in particular, has also been addressed under the student support schemes. With effect from the current academic year, all eligible mature students will qualify for the higher non-adjacent rate of maintenance grant.

USI have called for the inclusion of part-time students within the student support schemes. In the 1996-7 academic year, there were almost 23,000 part-time students at third level. In this regard, the profile of part-time students considered by the steering committee on the future development of higher education, indicated that almost 90% of part-time students were in employment. In this context I would point out that, under section 15 of the Finance Act, 1996, as amended by section 7 of the Finance Act, 1997, tax relief is available, at the standard rate, for tuition fees paid by eligible students who are attending approved part-time third level courses.

The need to target resources at those most in need is well recognised and underpins this Government's approach to tackling disadvantage. There is provision within the national development plan for a third level access fund totalling £95 million over the period of the plan. This fund will provide for additional financial support for disadvantaged students on top of the existing maintenance grants schemes. I am developing proposals on these financial supports and I will announce the details of the new arrangements in due course.
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