Ciarán Cannon (Galway East, Fine Gael)

I am responding on behalf of the Minister, Deputy Quinn. I thank Deputy Buttimer for raising this important matter.

I am pleased to inform the House that the Department of Education and Skills funds a student grant scheme for third level and further education students. Under the terms of the student grant scheme, grant assistance is awarded to students who meet the prescribed conditions of funding, including those which relate to nationality, residency, previous academic attainment and means.

The 2012student grant scheme regulations were issued to coincide with the new universal online grant application system, which went live on 11 June. Student Universal Support Ireland, SUSI, which has been established as a unit of the City of Dublin Vocational Education Committee, has commenced operation for all new grant applicants for the 2012-13 academic year, and all of the applications are being made online. This new application process is applicant-centred and aims to provide a more efficient service for the student. The existing 66 grant-awarding bodies will continue to deal with the renewal of applications for their existing grant holders for the duration of their current courses.

Articles 19 to 25 of Student Grant Scheme 2012 set out how reckonable income is to be assessed for the purpose of qualifying for a student grant. The means-test arrangements of the student grant scheme are applied nationally. In all cases, including in respect of both employed and self-employed applicants, gross income within a specified reference period is assessed with certain specified social welfare and HSE payments excluded.

Article 20(1) of Student Grant Scheme 2012 states the reference period within which reckonable income may be determined for an academic year shall be 1 January to 31 December of the relevant calendar year. For the academic year 2012-13, all income arising in the reference period 1 January 2011 to 31 December 2011 is assessed. Reckonable income limits are also based on this reference period. Article 20(2) of Student Grant Scheme 2012 provides that, where the business year differs from the reference period, the income shown in the business accounts for a year that ends between 1 January and 31 December of the relevant year will be considered.

The assessment of means under my Department's student grant scheme is based on gross income from all sources within the reference period. Therefore, all income is assessed from the same starting point, eliminating any distortion that might arise from different spending decisions. The income taken into account is gross income before any deductions for PAYE, income tax, capital gains tax, capital acquisitions tax, PRSI and the income levy.

I am sure the Deputy will agree it is necessary to assess all applications for support on a consistent basis from the same starting point, be the applicants employed or self-employed.

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