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Third Level Fees

Dáil Éireann Debate, Tuesday - 9 October 2012

Tuesday, 9 October 2012

Questions (100, 104, 201)

Gerry Adams

Question:

100. Deputy Gerry Adams asked the Minister for Education and Skills if he is paving the way for the introduction of student loans by introducing changes to the student contribution fee; and if this will act as a barrier for students from low and middle income families wishing to access higher education. [43093/12]

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Jonathan O'Brien

Question:

104. Deputy Jonathan O'Brien asked the Minister for Education and Skills his views on the impact of increases in the student contribution fee to be implemented from 2013-2015; and if they are sustainable for low income families who are marginally above the grant threshold. [43091/12]

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Terence Flanagan

Question:

201. Deputy Terence Flanagan asked the Minister for Education and Skills his plans to reduce or increase third level fees in Budget 2013; and if he will make a statement on the matter. [42767/12]

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Written answers

I propose to take Questions Nos. 100, 104 and 201 together.

As the Deputies will be aware the student contribution increased from €2,000 to €2,250 for the current academic year. The contribution is paid by the Exchequer in respect of students who qualify under my Department's student grant scheme.

Conscious of financial pressures on families, tax relief provisions have been put in place which provide for tax relief at the standard rate of tax for full-time fees in excess of €2,250. In addition, my Department, through the Higher Education Authority (HEA), has requested institutions to put arrangements in place whereby a student may pay the contribution in two instalments. I have been assured by the HEA that these arrangements are now in place.

It is intended that the contribution will increase to €3,000 by 2015. All areas of Government spending are currently being looked at and in this context, the Deputies will appreciate that in line with normal practice I am unable to comment on the budgetary process.

The question of introducing fees allied to an income contingent loan scheme has been identified previously, including in the Hunt report, as a means of addressing future funding issues in the sector while retaining free access at the point of entry. A technical report on options for the development of such a scheme was developed by my Department in 2009 and is published on my Department's website. The HEA, at my request, is also undertaking a study on the sustainability of the current funding system for higher education. An initial report was published last year, and the HEA is continuing its work in this area.

Question No. 101 answered with Question No. 87.
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