Seán Haughey (Dublin North Central, Fianna Fail)

The Government's decision is to reduce the number of VECs from 33 to 16 in order to deal with issues of scale and having regard to the current and prospective requirements of the education sector. Consideration of such a reduction had begun earlier as part of an examination of options to reduce the overall number of agencies. Subsequently, the special group on public service numbers and expenditure programmes recommended a reduction in the number of VECs from 33 to 22 and estimated savings of €3 million.

I am satisfied that a saving of that order is a reasonable projection in the medium term. There may be some increase in this figure given that there will be 16 rather than 22 VECs. This figure largely represents recurrent savings. The more immediate savings will be achieved primarily through a reduction in overall staff numbers. Some further savings should come through the sale of existing VEC buildings.

The Deputy referred to the analysis that informed this decision. He will be aware that it is not the practice to publish the contents of memoranda and the analysis provided to Government in reaching decisions. However, I want to avail of this opportunity to give the House a clear understanding of the rationale and basis for the decision. A number of Government priorities informed this decision, of which achieving savings was but one. The decision is fully consistent with the Government's objective of reducing the overall number of agencies and transforming the delivery of public services. At the core of this restructuring is the need to address the current low scale and size of operations, in particular in VECs. For any Government seeking more efficient and effective ways of delivering public services the current scale and size of some of the existing VECs is untenable. Based on 2009 allocations, 20 of the 33 VECs had an overall budget less than €30m and 15 VECs are responsible for five or fewer schools. Again using 2009 data, excluding the City of Cork and Dún Laoghaire, where school activity is concentrated either heavily or exclusively on PLC provision, total ordinary second level enrolment was below 1,000 in nine of the VECs. Even allowing for some adult and further education activity it is difficult to justify their continued stand-alone existence.

The Government decision can put the sector on a new footing for service delivery into the future. VECs have served this country well. When these changes are implemented the sector will be even better positioned to serve the needs of future learners.

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