Dáil Éireann Debate, Wednesday - 27 October 2004
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Higher Education Grants.
150 Mr. O’Shea asked the Minister for Education and Science the details of the recent changes to the third level maintenance grant levels; her views on whether such minor increases are sufficient; and if she will make a statement on the matter. [26140/04]
Amharc ar fhreagraIt has been my Department's approach in recent years to increase the value of the grant under the student maintenance grant schemes annually at least in line with inflation. This year, in line with this policy, increases of 2% were made in the ordinary maintenance grant to give a maximum grant of €2,945 in the 2004-05 academic year.
Similarly, in relation to the reckonable income limits under the maintenance grant schemes, the practice in recent years has been to increase the limits at least in line with movements in the average industrial wage in the previous year. This year, in line with this policy, an increase of 5.9% was approved in the reckonable income limits for the 2004-2005 academic year, as has the allowance by which the income limits may be increased for each dependant where two or more children are in further or higher education.
The top income limit has been increased from €40,000 to €42,360, where there are less than four children, ensuring that a significantly higher number of students from households with moderate incomes will not have to pay the student service charge of €750. Higher income thresholds than this apply in cases where there are four or more dependent children in the family. Over 56,000 students were in receipt of grants in the 2003-04 academic year.
The special rates of maintenance grant, usually referred to as "top-up" grants, payable to disadvantaged grant holders were introduced with effect from the 2000-01 academic year. This year's schemes are giving particular priority to addressing inequities in participation of students from the lower socio-economic groups through the special rates of maintenance — top-up grant. There is a significant increase of 18.6% in the "top-up" element for the 2004-05 academic year. The higher, non-adjacent special rate of maintenance has been increased to €4,855, an amount based on the maximum personal rate of social welfare unemployment assistance. The adjacent rate has been increased to €1,945. These rates represent "top-ups" on the ordinary grant of €1,910 and €765, respectively.
The annual income threshold for the special rates of maintenance grant has been increased, in line with the relevant social welfare payments, by 6.8% to €14,693.
While I have no plans to depart, in the foreseeable future, from the current practice in relation to increases in the reckonable income limits or grant rates under my Department's student maintenance grant schemes, I am committed to ongoing improvements in the student support schemes, including increasing the value of maintenance grants and increasing the income limits, as resources permit.
