Jonathan O'Brien (Cork North Central, Sinn Fein) | Oireachtas source

I acknowledge the presence of the Minister for Education and Skills and the Minister of State at the Department of Education and Skills in the Chamber. As education spokesman, the majority of my speech will focus on the education announcements. I will begin with the positive elements because the Minister will also get some negative elements. Th increased funding for literacy and numeracy is welcome. This is an integral part of our education system, particularly in the further education sector. We discussed the new apprenticeship council, which will be established, at the committee and there was universal agreement that it was welcome. The committee had some concerns but the important aspect in expanding the apprenticeship system is to ensure people gain secondary skills when they are trained. That came through from committee members on all sides. People engaging in apprenticeships must acquire secondary skills so that, if the economy takes off in a different direction and they find themselves out of work, they can find employment quickly and not end up among the long-term unemployed.

With regard to the five-year strategy of SOLAS, I agree with the Minister that the area has been radically reformed by the previous Minister. Some issues exist in respect of education and training boards. Correspondence in my inbox this morning suggests one board is facing a financial deficit and will write to the Minister to seek permission for an overdraft of €5 million. These financial difficulties are being faced by the education and training boards. Unless we remove the financial constraints, they will not achieve what they were established to do. They have the potential to transform the sector but we need to fund them properly.

I welcome the increased funding for literacy and numeracy. The 1,700 new teachers announced yesterday will be spun as a win for the Labour Party or the Government but it will not make any difference to class sizes. There will still be 33 primary students in classes in Kinsale. That will not change and the additional numbers are meeting demographic changes. The new proposal about allocating resources to children with special needs is dependent on a 15% cut being reversed. One of the parliamentary questions submitted before the budget concerned reversing the 15% cut and returning to where we were in 2011. This will take an additional 1,098 resource teachers at a cost of €44 million. Yesterday's announcement of 400 resource teachers, while welcome, will only meet the increased demand of 12,000 or 13,000 students next year.

As I mentioned, this budget will not do anything for class sizes or to alleviate overcrowding, which is unfortunate. If we are serious about education and giving students the best opportunities, we need to have smaller classes. It is internationally proven that the smaller the class, the better the educational outcomes. We have the second-highest class sizes in Europe, which must be addressed. I know the Minister cannot do everything in one year but I hope something could be done in that regard. Due to last year's cuts, career guidance counsellors have been affected, and I hoped that could have been addressed.

There is an issue omitted from yesterday's budget that is of great concern and a source of much disappointment in every school across the State. This was the 2012 budget announcement relating to capitation grants, which will see another 1% cut across the sector next year. That will have devastating consequences, not just for schools but also for parents, who will be asked by boards of management to fill the financial gap created by a decrease in funding. We already have voluntary contributions well in excess of €120 or €130 that are an attempt to meet the funding shortfalls faced by schools. That will increase next year.

During Question Time last week I stated that the ministerial brief for the Minister on taking office had a warning on the dangers of further cuts in capitation grants. Senior officials in the Department indicated that any further cuts in capitation grants for budgetary reasons would force many schools into a position in which they might not be able to pay basic utility bills such as those for lighting and heating. It has been further indicated that this creates a risk of some schools closing. I do not understand why the Minister would not try to reverse this process. There is €3.3 million involved in this, and even if we take into account demographic changes next year, we are probably looking at an addition of just under €2 million. For the sake of €5.3 million, the cuts in the capitation grant next year could have been done away with; that money would have been well spent and felt in the pockets of parents who, unfortunately, will have to meet a funding shortfall.

I raised the student contribution fee with the Minister opposite and the Minister for Finance, who indicated that this was a neutral budget and anything coming into effect in 2015 did not have to be accounted for. That was not the case and it did not turn out like that. Unfortunately, the student contribution fee will be increased by €250 next year to €3,000. The reality is that this will force more students out of education. The numbers may not be large but, unfortunately, some students will not be able to continue their higher education because of increased costs. There was no compensation on the other side through an increase in the student assistance fund. Two years ago, that fund had to be topped up by the then Minister, Deputy Quinn, and last year the fund ran out within weeks because of the demand. It is even worse this year, as there are increased rent costs and cost-of-living elements such as public transport. This has an adverse effect on students. Some students who come to my office are being asked to pay €90 or €100 per week in rent, which their grants are unable to cover. These people are working 15 or 16 hours per week while trying to study, and in the summer they are cramming in weeks of 40 or 45 hours just to keep their heads above water. They are living on beans on toast. I am not being dramatic, as this is the reality for many students. I ask the Minister to monitor this fund closely, as it will run out very quickly. Unfortunately, if students cannot access the student assistance fund, they will have no other option but to drop out of education. I know the Minister does not want to see any student leave education for any reason, but if there is an opportunity to keep people in higher education and give them the opportunity to reach their potential by increasing the fund, I ask her to examine the matter closely.

People in small schools will be disappointed that the summer works scheme and the minor works grants have not been reinstated. These have been vital sources of funding for many schools, which, as I mentioned, are already facing cuts in capitation grants and which will need boards of management and parent councils to raise funds and pay more in voluntary contributions. These schools may need to do some work to upgrade heating or fix a roof but have relied very heavily on those grants in the past.

See this speech in context