Ruairi Quinn (Dublin South East, Labour) | Oireachtas source

I thank the Deputies for their questions and comments. With regard to third level fees, the so-called student charge, which has been rebranded for what it is, was €2,000 when the Government came into office. It was increased by €250 last year and will increase again by the same amount, to a maximum of €3,000. The revenue from increasing it by €250 this year amounts to approximately €18 million, which is a considerable amount of money. Some 42% of students in the university and third level college system are in receipt of some form of grant, either the full grant and maintenance or a partial grant.

As Opposition spokesperson on education for Fine Gael, Deputy Brian Hayes, now Minister of State at the Department of Finance, said his party was in favour of a student loan system. I took that to mean, subject to correction, that it would be a State student loan scheme similar to that in place in other in other countries. The loan scheme introduced by Bank of Ireland, to which Deputy McConalogue referred, is one on which it has taken the initiative. I welcomed its appearance in the system. Prior to that one could get a bank loan as a student but it depended on one's parents underwriting or going guarantor. Subject to correction, under the bank loan scheme which Bank of Ireland has launched, the student services only the interest. When students graduate and move to the labour market they pay back the capital. The scheme is open to students in their own right and is not dependent on guarantees from other family members. That is a welcome addition and as it comes without State underwriting or State guarantees, there is no exposure for the State. It is not a Government-backed or a State-backed system.

I am conscious that the introduction of changes to the school transport system for post-primary schools has created some distortions and difficulties. I had a briefing meeting this morning with the Minister of State, Deputy Cannon, who is directly responsible for it. I am interested in feedback, particularly from Deputy McConalogue, who has a conscious experience from Donegal North-East of its impact. My understanding is that the rule is confined. If one is entitled to it, one gets free transport to the nearest school but if, for whatever reason, one sends one child to a school further away than the nearest school, one is not entitled to transport and must pay a concessionary fee. The displacement in that area is comparatively small, according to the briefing I received, but it is acute for the families directly affected. We will look at amelioration measures when we have got a better quantification. The schools reopened only three weeks ago and we are still trying to get information. If Members have typical cases it would be useful for us to get them and we can examine whether there are ways of ameliorating the scheme. For example, if there is spare capacity on the bus, and we know the pattern, then some movement should be facilitated. The Minister of State and his officials said they are still evaluating the impact and the feedback from people around the country. If Members have specific information we would be happy to hear it.

At 7.50 a.m. yesterday on my way to Government Buildings, I was asked about the decision taken by Clare County Council about payment of the household charge. I was not aware of it at the time and had not been consulted. I understand Tipperary County Council proposes to similar course of action. We must be clear about this. Nobody likes paying taxes. This is a specific tax that has provoked co-ordinated opposition from political groups and individuals across the country. Approximately two thirds of the population has paid the tax. In the case of Clare County Council, a person was seeking taxpayers' money to go to college but that taxpayers' money has to come from those who pay the tax, It is a legal requirement that one pays the tax; it is not a voluntary contribution. It was quite reasonable for Clare County Council to ask if one's household had paid the tax. To my knowledge, it did not say any more.