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Dáil Éireann debate -
Wednesday, 2 May 2001

Vol. 535 No. 2

Written Answers - Higher Education Grants.

Denis Naughten

Question:

85 Mr. Naughten asked the Minister for Education and Science the plans he has to increase the third level maintenance grant; and if he will make a statement on the matter. [11687/01]

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 to assist students to attend full-time third level education.

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%.

Similarly, 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 2000/2001 academic year. This exceeded the increase in the average industrial wage for the period March 1998 to March 1999 and this 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.

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. In September 2000 I established an action group on access to third level education to advise on the development of a co-ordinated framework to promote participation at third level by such students.

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 announced, last September, the introduction of a special maintenance grant payable to disadvantaged grantholders which was targeted at those most in need. The full rates of the special maintenance grant entail increases over the standard rates as follows: between £1,775 and £2,000 for students residing more than 15 miles from college and between £710 and £1,000 for students resident within 15 miles of college.

I also announced late last year 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 relating to the implementation of the team's recommendations will be addressed when its report has been completed.
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