Michael Creed
Question:157 Mr. Creed asked the Minister for Education and Science if he will increase the income limits and the grant levels of the higher education grants. [22955/01]
Written Answers. - Higher Education Grants.
Denis Naughten
Question:489 Mr. Naughten asked the Minister for Education and Science the plans he has to review the third level maintenance grant. [21859/01]
I propose to answer Questions Nos. 157 and 489 together.
My approach in relation to the maintenance grant schemes 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. Last June, I approved an increase of 6.5% in the reckonable income limits for the 2001/2002 academic year. This exceeded the increase in the average industrial wage for the period March 1999 to March 2000, which was 5.9%. I also increased by 6.5% 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 approved increases of 6% in the rates of maintenance grant. The reference value for inflation is the annual percentage increase in the CPI to mid-February 2001. The increase of 6% in grant rates for 2001/02 was higher than the reference value, which was 5.3%.
Last November, I announced the 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.
Some of these topics are, of their nature, complex and require detailed research. For example, costings of the effect of changes in the income limits, below which applicants become eligible for a grant, have been commissioned, and carried out, for the special review.
Issues relating to the implementation of the team's recommendations will be addressed when its report has been completed.