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"New proposals for Higher Education Grants Scheme from Fine Gael," says Deputy Paul McGrath
"One thousand one hundred students have completed the Leaving Certificate in the year 2001 in County Westmeath," says Deputy McGrath, "and in the aftermath of the Leaving Certificate results and first round offers, students and their parents, are now assessing the options and opportunities that are available to them."
"The Leaving Certificate is not an end in itself but merely a passport to the next phase of the student’s life. Very good, mediocre or even bad results are not a guarantee of future success or failure. Many very successful people in all walks of life failed or did badly in the Leaving Certificate and yet succeeded," says Deputy Paul McGrath.
"A careful look at the options available, in consultation with parents and teachers, is now of the utmost importance."
"Up to 100 students in County Westmeath will have to turn down their CAO offer this week because their parents cannot afford to send them to college," says McGrath.
"This fact is not surprising considering that a household with both parents working for £5.20 per hour is considered to be too well off to qualify for a Higher Education Maintenance Grant. This is proof positive that the current grant scheme is a shambles and needs to be radically overhauled.
"In the last four years the level of the grant has increased by 15%, based on the Consumer Price Index (CPI), yet rent, the single biggest cost factor facing 3rd level students has increased by 112% over the same period."
"The Minister's response this year, of a £3 per week increase in the grant is a joke. The advances made by the Rainbow Government in abolishing 3rd level fees has now been virtually eroded. It is high time the Minister had a reality check on 3rd level education and the real costs parents are facing in their efforts to educate their children."
"The drop out rate in 3rd level colleges is another reason for radically improving the grant. Many of the students who drop out cite financial difficulties as the primary reason for discontinuing their 3rd level education. This represents a loss to the Exchequer both immediately and in the long term. The increasing number of students who are financially obliged to work excessive hours to the detriment of their studies is further proof of how inadequate the grant is."
Fine Gael’s proposals to overhaul the higher Education Grants Scheme are :-
- Increase the qualifying income threshold from the current level of £21,513 to £30,000 for parents with fewer than 4 dependent children. This will increase exponentially for larger families.
- Increase the basic maintenance grant from the current maximum level of £1,882 to £3,000 p/a, for students living away from home (non-adjacent rate).
- Increase the basic maintenance grant from the current maximum level of £753 to £1,500 p/a, for students living at home (adjacent rate).
- If parental income is below £20,000 the grant will be increased by an additional £500, with the grant then totalling £3,500 p/a.
- If parental income is below £15,000 the grant will be increased by an additional £1,000, with the grant then totalling £4,000 p/a.
- Postgraduate students who are currently in receipt of the Third Level Maintenance Grant will receive the above increases. All postgraduate students irrespective of whether they receive a grant will be eligible to benefit from a new system of State subsidised loans provided by the banks. Students will be able to borrow up to £3,000 p/a at a low interest rate for verified student costs. A maximum of £6,000 may be borrowed over the duration of a student's postgraduate studies and must be repaid within 4 years of graduation.
- We recognise that in order for many colleges and universities to attract more students to pursue postgraduate research, additional funding must be made available to facilitate this. Many research students will benefit from the above increases in the maintenance grant and the state subsidised loan initiative. However, many PhD students may not fall into this category. We propose establishing a fund to assist students who are pursuing PhD research and who are currently not attracting commercial sponsorship from industry. We envisage that this additional funding will be administered on a case by case basis by the colleges.
"The estimated cost of this package is £50 million. This expenditure can be justified on the basis that it will lift the barriers to participation in 3rd level education, which currently affects many students from disadvantaged backgrounds. Such supports will also widen the horizons of, and provide more choices to, those who wish to pursue postgraduate or undergraduate studies," said Deputy McGrath.
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