Batt O'Keeffe (Cork North West, Fianna Fail)

I propose to take Questions Nos. 727 and 728 together.

As the Deputy is aware, the scale of the economic downturn has made it necessary to adjust funding provisions across all Departments. The adjustments in the recent budget at third level were part of this overall contribution to public expenditure reductions. Such adjustments must be viewed however in the context of overall investments in higher education in recent years which has increased from some €1.5 billion in 2004 to over €2 billion this year.

In contributing to the achievement of national policy goals for social and economic development, it can be anticipated that there will be continuing significant resource needs for the sector. Our higher education system relies disproportionately on Exchequer sources of funding and it is appropriate to look to wider means of meeting future additional resource requirements having particular regard to the difficult budgetary and economic climate that is in prospect in the medium term. As the Deputy is aware I am currently finalising a review of policy options in relation to the consideration of the introduction of a form of student contribution. There are many complex and competing considerations including the funding matters referred to by the Deputy which need to be taken into account in the consideration of all available options. It is my intention to bring proposals to Government in the near future in relation to such options.

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