Vol. 548 No. 2
465 Mr. Gilmore asked the Minister for Education and Science when it is intended to raise the level of maintenance grants for third level students; if he will increase income eligibility for qualification for the grants; and if he will make a statement on the matter. [4714/02]
My approach to the value of maintenance grants has been to increase the level of grants annually, at least in line with inflation. In keeping with this policy, in June 2001, I approved increases of 6% in the rates of maintenance grants. The reference value for inflation is the annual percentage increase in the consumer price index to mid-February. The increase of 6% in grant rates for 2001-2002 was higher than the reference value, which was 5.3%.
Similarly, the practice in recent years has been to increase the reckonable income limits in line with movements in the average industrial wage in the previous year. 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.
On my initiative, a special project team is carrying 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 includes 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 complex and require detailed research. As part of the review, the Economic and Social Research Institute was commissioned to undertake research on the effect of changes in the income thresholds and on related matters. The report's findings have informed the work of the project team and drafting of the team's report is now being finalised. Issues relating to the implementation of the team's recommendations will be addressed when its report has been completed.
