Oireachtas Joint and Select Committees

Wednesday, 30 November 2022

Select Committee on Education and Skills

Estimates for Public Services 2022
Vote 26 - Education (Supplementary)
Vote 45 - Further and Higher Education, Research, Innovation and Science (Supplementary)

Photo of Niall CollinsNiall Collins (Limerick County, Fianna Fail)
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I thank the committee for the opportunity to speak and for its consideration of the Department of Further and Higher Education, Research, Innovation and Science’s Supplementary Estimate. I am accompanied by officials from my Department.

The allocation for the Department's 2022 Supplementary Estimate was drawn up in recent weeks as part of the normal budgetary process. At a Cabinet meeting on 15 November 2022, the Government agreed to a Supplementary Estimate for the Department of Further and Higher Education, Research, Innovation and Science of €292.3 million. This increases the net voted allocation for this Department from €2.935 billion to €3.288 billion, allowing for further funding of three key items.

First, €134 million has been made available for key measures announced in budget 2023 to alleviate cost-of-living pressures for Irish students, researchers and the third level sector. The measures include: a one-off €1,000 reduction in the undergraduate student contribution fee for higher education students eligible for the free fees initiative; a one-off reduction of 33% in the contribution fee for apprentices in higher education; a one-off extra payment for all student maintenance grant recipients; a one-off increase of €1,000 in the support provided to Student Universal Support Ireland, SUSI, qualified postgraduate students, from €3,500 to €4,500; a further €8 million investment in the student assistance fund for the 2022-23 academic year; a one-off payment of €500 for researchers who receive an Irish Research Council or Science Foundation Ireland award; and one-off funding for the third level sector to assist with rising energy costs.

These measures are designed to put money back into the pockets of students and families and provide tangible and immediate relief for students from the challenges of the rising cost of living.

Second, €17.7 million in funding through this Department's Supplementary Estimate will provide third level supports to Ukrainians in Ireland in the 2022-23 academic year. We are all well aware of the profound impact that the war in Ukraine has had globally. In June 2022, the Government approved the introduction of higher education supports in the 2022-23 academic year for Ukrainian persons eligible under section 60 of the International Protection Act 2015. These supports included a new temporary administrative tuition fee scheme, a one-year bursary scheme for SOLAS-approved post-leaving certificate courses and changed eligibility criteria for the student assistance fund in the 2022-23 academic year to include eligible persons.

English-language provision is a priority. The 16 education and training boards offer appropriate English-language and additional learning supports for Ukrainians wishing to develop their language competency as part of their social, economic and cultural integration into Irish society. As of 14 November, 58,040 displaced Ukrainians have arrived into Ireland, with the Department of Justice estimating 61,000 arrivals by the end of November. To date, 63,765 temporary protection orders have been granted. There is an inherent uncertainty around the future and the level of the numbers of students who may seek to avail of third level supports during their stay in Ireland and to that end, this Department is in close engagement with the Department of Public Expenditure and Reform.

Third, there has been a once-off injection of €139 million for university superannuation costs. There is a State obligation to fund university pension costs, arising from a legal undertaking by the Departments of Public Expenditure and Education when taking over university pension funds in 2009 under the Financial Measures (Miscellaneous Provisions) Act. In recent years, the pension cost has increased in line with demographic demands. To address a shortfall in university pension schemes, this Department successfully negotiated in the 2023 Estimates process a one-off injection of €139 million in 2022 to decrease the pension funding shortfall. Additionally, this Department successfully negotiated a €20 million increase to the base funding of university pensions from 2023. This will help to build a sustainable baseline for future pension costs, as well as helping to strengthen university balance sheets.

As part of the Supplementary Estimate, this Department has also processed some technical adjustments, including pay costs in 2022 and savings expected on voted expenditure. In total, this increases the net Supplementary Estimate requirement by €1.6 million and brings the total Supplementary Estimate to €292.3 million.

I trust that this overview has been of assistance to the committee. We are happy to discuss these issues in more detail and I commend the Supplementary Estimate to the committee.