56,000 students to gain from new measures

NEW PACKAGE: Up to 56,000 students from low-to-moderate income backgrounds are to benefit from the package of access measures for third-level education announced yesterday, according to the Minister for Education.

Revealing details of the €42 million-a-year plan at Government Buildings, Mr Dempsey said 11,000 students would receive a grant for the first time from September, and 4,000 would no longer have to pay student service charges.

Expressing his "delight" at the package, he said it would be "the catalyst which enables students from disadvantaged backgrounds to reach their full potential in the education system, and in their subsequent careers".

The measures include an increase in grant levels by 15 per cent, 10 per cent above the normal annual increase, according to Mr Dempsey. This brings the basic grant to €3,264.

Income threshold for the grant is to rise from €29,228 to €32,000, a move which brings an extra 5,000 students into the supports scheme.

Graded relief is also being introduced allowing students in families with an income up to €32,000 to receive the full grant, from €32,000-€34,000 75 per cent of the grant, €34,000-€36,000 50 per cent, and €36,000-€38,000 25 per cent.

Explaining the move, the Minister said it would ensure that people did not fall out of the grants system entirely if they were marginally above one of the lower ceilings.

He said 2001 third-level attendance statistics showed a "fall-off" in students from lower-to-middle income backgrounds. "I think part of the reason why that is happening is because the grant levels have not kept moving in line with wage increases."

The "top-up" grant for students from poorer backgrounds - those generally on social welfare - is also being increased to the maximum personal rate of unemployment assistance. About 7,500 students are to benefit from the rise, which will bring the average top-up grant to €4,493.

"That means that students will have an incentive to attend college. They won't be losing anything as a result of attending college," said Mr Dempsey.

Finally, the ceiling for eligibility of a waiver regarding the €670 student service charge is increasing from €36,897 to €40,000.

The cost of the package, which will operate from the new academic year, is €12 million - €15 million for 2003, and €42 million for a full year. Included in the estimate is a €500,000 public information scheme, which will highlight the changes in entitlements.

The Minister said €12 million of this year's expenditure would come in the form of a cash transfer from the Tánaiste's office, which had yielded unexpected revenue from a broadband infrastructure project. The remainder would come from "Government expenditure" and not the Education budget.

He had an "absolute commitment" from the Government that spending on student support would be increased by €42m next year, and this would not affect anything else in his budget.

Confirming the third-level fees scheme would not be changed, he said there was "considerably more" in this package than the return on fees, estimated at about €15m a year. Fees were now "off the agenda", although that did not change his view on the matter, nor that of the Taoiseach.

New access package: Main elements

• Grant levels increasing by 15 per cent.
• Qualifying family income threshold increased to 32,000. Incomes of 32,000-38,000 will be eligible for a 75 per cent to 25 per cent grant.
• Top-up grant increasing to 4,493 for students whose families are on social welfare.
• Ceiling for student service charge waiver increased to 40,000.