Mr. Robert Watt:

I thank Deputy Broughan. He is aware there is a consultation process about that, which I presume was the motivation for the Union of Students in Ireland talking about this issue. We want world-class universities and we want the best education for students who go through the process. Year on year we see an increase in the number of students going in to third level education. I believe the last data shows that 70% of the leaving certificate cohort is going on to third level broadly defined across the institutes of technology and post-leaving certificate universities. If this increase continues it presents an enormous challenge and the taxpayer pays for it, along with all the other competing demands.

If students are to make a greater contribution, now or in the future with some deferred loan system, there are many issues around the pros and cons of that system. There is a debate to be had around the extent to which employers may contribute more and employers benefitting directly from the improvements in human capital. A consultation paper has been set out and the two Ministers concerned are very interested in hearing the views of different sectors of society around how the system could be funded. If the numbers of students keep on increasing and the costs to the system keep going up it creates an enormous challenge in how we fund it. The average undergraduate course costs €10,000 or €11,000 and the student contribution fees are €3,500. Half of the students are on grants and as the Deputy is aware the fees are waived. There is enormous support in that regard. The Department of Public Expenditure and Reform and the Department of Education and Skills are concerned about the sustainability of the system. A debate needs to be had about how it can be funded in the future.