Dáil Éireann Debate, Tuesday - 30 March 2004
145 Mr. Ferris asked the Minister for Education and Science if his attention has been drawn to the financial hardship caused to schools by rising insurance costs; and if he will consider increasing the school capitation grant to enable schools to overcome this difficulty. [9807/04]
View answer194 Mr. O’Shea asked the Minister for Education and Science if his attention has been drawn to the concern expressed by the joint managerial body that soaring insurance and other costs are putting secondary schools in an impossible position; the steps he has to provide additional assistance to assist such schools, especially in regard to insurance costs; and if he will make a statement on the matter. [9787/04]
View answerI propose to take Questions Nos. 145 and 194 together.
I am aware of concerns expressed by the joint managerial body for voluntary secondary schools in relation to increased insurance costs. Responsibility for arranging insurance cover on school property and against public liability is a matter for the managerial authorities of primary and secondary schools, which are privately owned. Also, it would not be reasonable to expect the state to meet the full insurance costs of privately owned buildings.
Funding is provided to primary and secondary schools by way of per capita grants which affords schools considerable flexibility in the use of these resources to cater for the needs of their pupils. This is in general a preferable approach to putting in place grants for specific cost items such as insurance. Moving to a position where the Government covers the insurance costs of primary and secondary schools may encourage the insurance sector to keep increasing premia on the basis that the State would meet the cost. Having made that point, I emphasise that such an approach would also reduce the incentive for school management to reduce risks.
I am committed to improving the funding position of primary and secondary schools in the light of available resources. At a time of increased financial constraints, the recent announcement of further significant increases in the funding of primary and secondary schools is a clear demonstration of my commitment to prioritise available resources to address the needs of schools.
In the case of primary schools the standard rate of capitation grant has been increased from €57 in 1997 to €121.58 per pupil from 1 January last, an increase of almost 113%. In the case of secondary schools, the standard per capita grant now amounts to €274 from 1 January last as against the rate of €224.74 that applied in 1997. In addition, the support grant that was introduced under the school services support initiative was also increased from 1 January last and now stands at €131 per pupil. This increase is in addition to the range of equalisation grants of up to €15,554 per school per annum that was approved in December 2001. A measure of the increase in overall funding for secondary schools is that by comparison with 1997, a secondary school with 500 pupils now receives extra annual funding of up to €108,000 per annum.
