Dáil Éireann debate -
Thursday, 23 Nov 2000

Vol. 526 No. 5

Written Answers. - Higher Education Grants.

Richard Bruton

Question:

111 Mr. R. Bruton asked the Minister for Education and Science if he has made any provision in his Estimates for increasing over and above indexation line income limits, or for increasing over and above indexation, the maintenance payments under third level grant schemes; and if he will indicate the existing and the proposed limits in each case. [27128/00]

Richard Bruton

Question:

112 Mr. R. Bruton asked the Minister for Education and Science the precise wage and price indices used in recent years for indexing the income limits and maintenance limits of third level grants; the precise month or quarter at which the movement in the index is measured; and if he will continue to use these indices in the future. [27129/00]

Richard Bruton

Question:

113 Mr. R. Bruton asked the Minister for Education and Science if he has made provision in his Estimates to alter the conditions in the third level grant determining the rules applying to the qualification of mature students; and the changes which he plans. [27130/00]

Minister for Education and Science (Dr. Woods)

I propose to take Questions Nos. 111, 112 and 113 together.

The statutory framework for the maintenance grants scheme, as set out in the Local Authorities (Higher Education Grants) Acts, 1968 to 1992, provides for means-tested higher education grants in order to assist students to attend full-time third level education.

My approach has been to follow the practice of recent years and increase the reckonable income limits in line with movements in the average industrial wage in the previous year. I approved an increase of 5% in the reckonable income limits for the 2000-01 academic year. This exceeded the increase in the average industrial wage for the period March 1998 to March 1999, which was 4.5%. I also increased by 5% the allowance by which the income limits may be increased in respect of other family members pursuing a course of study.

Similarly in relation to the value of the grant, the practice in recent years has been to increase the level of maintenance grants annually at least in line with inflation. Last June, in line with this policy, I announced increases of 5% in the rates of maintenance grant. The reference value for inflation is the annual percentage increase in the CPI to mid-February 2000. The increase of 5% in grant rates for 2000-01 was higher than the reference value, which was 4.3%.

I have no plans at present to depart from these indices as a guideline.

The abridged Estimates, which were published recently, do not generally represent the total planned provision for public expenditure. It is normal practice for the Government to review and adjust the expenditure provisions in the context of finalising the budget and in the light of more up to date outturn figures.

Moreover, the Estimate provisions are only the first stage in the process of determining specific allocations, improvements and initiatives across all sectors of education. This process is continuing and I will convey the necessary details as decisions are taken.

I have set out in the table below the existing rates of maintenance grants, and the existing reckonable income limits, for the 2000-01 academic year.

In view of the scale of expenditure involved and the representations being made by students and other groups, I announced on 11 November that I was setting up a special project team to carry out a comprehensive review of every aspect of the maintenance grants and other student supports to ensure their relevance to the needs of present day third level students. This review will include the level of grants, the methods by which they are paid, eligibility and income limits, accommodation needs, student support services, the most suitable paying agency, the provision of an appeals system, student loans and taxation measures. Issues in relation to mature students will also be considered in this context. The project team is to report to me by the end of March 2001.

Some 40% of third level students qualify for maintenance grants. The need to target resources at those most in need is well recognised and underpins our approach to tackling disadvantage. In this regard there is provision within the national development plan for a third level access fund totalling £95 million over the period of the plan, aimed at tackling under-representation by students from disadvantaged backgrounds, mature students and students with disabilities.

I recently established an action group on access to third level education with the aim of tackling under-representation of disadvantaged students. This action group will advise me on the development of a co-ordinated framework to promote participation at third level by such students. I have asked the group to provide a report to me within three months.

As an indication of the Government's support in promoting equity in access and as an initial step, pending the findings of the action group, I have announced the introduction of a special maintenance grant payable to disadvantaged grant holders, targeted at those most in need. The full rates of the special maintenance grant entail increases over the standard rates as follows: from £1,775 to £2,000 for students residing more than 15 miles from college; and from £710 to £1,000 for students resident within 15 miles of college. Tentative indications are that up to 10,000 students may benefit from this measure.

The following are the maintenance grants rates for the 2000-2001 academic year:

	Non AdjacentRate	Adjacent Rate
Full Maintenance	IR £1,775 (M1)2,253.79	IR £710 (M2)901.51
Part Maintenance (50%)	IR £887 (M3)1,126.26	IR £ 355 (M4)450.76

The following are the existing reckonable income limits:

Number of DependentChildren	Full Maintenance andfull fees	Part Maintenance(50%) & full fees	Full Fees Only	Part Fees (50%) Only
Less than 4	IR£20,20025,648.71	IR£21,40027,172.39	IR£24,10030,600.69	IR£25,50032,378.32
4-7	IR£22,20028,188.19	IR£23,40029,711.87	IR£26,10033,140.16	IR£27, 50034,917.80
8 or more	IR£24,10030,600.69	IR£25,50032,378.32	IR£28,10035,679.64	IR£29,50037,457.27

In the 2000-01 academic year where two or more children, or the candidate's parent, are pursuing one of the following courses of study the reckonable income limits may be increased by IR£2,270 – 2,882.31 – where there are two such children, IR£4,540 – 5,764.61 – where there are three such children and so on, by increments of IR£2,270 – 2,882.31. The courses include attending full-time third level education; attending a recognised PLC course, student nurse training or student Garda training; participating in a CERT course of at least one year's duration; attending a full-time Teagasc course in an agricultural college; and attending a recognised full-time further education course of at least one year's duration in Northern Ireland.