Patrick O'Donovan (Limerick County, Fine Gael) | Oireachtas source

I thank the Leas-Cheann Comhairle for the opportunity to speak on budget 2025. This budget reflects the Government's commitment to support the success of all learners, to drive improvements in the overall performance of the tertiary education system, and to provide continuous support for world-class research and innovation in Ireland. It includes €4.545 billion for my Department, providing a major capital and funding package for tertiary education along with measures to reduce the cost of education and tackle the cost of living.

Investing in skills is essential to maintaining the productivity and competitiveness of the Irish economy and to the priority goal of supplying apprenticeship and training provision that meets the skills needs of industry now and into the future. I have secured a significant investment of €77.4 million for the apprenticeship system. This represents the single largest investment in core apprenticeship funding since the formation of my Department and will support the continued growth of craft apprentices with 6,800 registrations in 2025, strengthening the construction workforce.

I will also invest €5.9 million to grow our diverse apprenticeship offering, which currently ranges from hairdressing to cybersecurity. A further €4 million will support essential projects that enable a transition to a single national apprenticeship system that is adaptable to the changing world of work. I have secured €20 million in the skills package as part of a wider package to sustainably use the national training fund surplus. The measures will future-proof work skills in SMEs and further enterprises to ensure workers can readily access lifelong learning opportunities. I am announcing today that I am restoring the €30 million temporarily allocated to the apprenticeship budget in 2024 to the further education and training budget in 2025. This restoration will address pressures in the further education and training budget of this year.

The budget addresses the core funding gap in higher education, raised as part of Funding the Future. I have secured the Government's agreement for a multiannual investment that will increase core funding to higher education by a further €150 million per annum by 2029. This funding will come from the National Training Fund, NTF. Over the 2025 to 2030 period we will provide an additional €650 million in core funding for the higher education sector from the NTF. In 2025 we will increase core funding for higher education by €58.7 million through Funding the Future initiative. This funding will allow the sector to increase staffing levels and strengthen capacity. It will provide for greater alignment of provision with priority skills needs and will support the further development of the tertiary degree programmes, increasing pathways to education. NTF funding will also support capital projects in a range of areas: €150 million will be invested in innovative equipment in the further education and training sector to drive workforce transformation in key areas for our economy; €150 million will be used to develop research skills, including supporting research infrastructure; €130 million will provide key training facilities for specialist skills identified as being in short supply; €20 million will be provided for universal design for learning to enhance accessibility across our campuses; and €150 million will be provided for fit-for-purpose decarbonised training facilities at tertiary level and contribute to the sector meeting our ambitious climate action targets.

As a country we have seen significant income growth over the past few years but this has been coupled with increased costs. It is vitally important that we continue to support students who need financial assistance. This is why I am increasing all student grants and student part-time fee grant thresholds. The special rate of maintenance threshold will increase from €26,200 to €27,400 and there will be at least a 15% increase to all other thresholds. I am pleased to also announce that PhD stipends will increase from €22,000 to €25,000 per annum. As well as this, the following once-off cost measures will be implemented straight away to assist students with the challenges of the cost of living: a 33% reduction in student fees for 14,000 apprentices attending higher education institutes; a €1,000 reduction in the student contribution fee that will benefit an estimated 103,000 higher education students who are eligible for the free fees initiative; an increase to the postgraduate fee contribution grant from €4,000 to €5,000 for eligible students; and an additional €10 million to the student assistance fund. Alongside these measures I am pleased to announce that for the first time €5,000 of any scholarship received by a student will not be counted as income in SUSI means tests. The eligibility criteria for the schemes will be expanded to allow students who have certain immigration permissions to apply for grants.

This Government recognises the significant challenges facing students in securing appropriate and affordable accommodation to enable their participation in higher education. I am pleased to announce an investment of €7.5 million in recurrent funding for student accommodation initiatives, in addition to the €100 million already committed through the NDP, and €6 million of this is activation of approximately 1,200 student accommodation beds for long-term leasing as part of the technological university student accommodation programme. At least 30% of all of the beds activated under this programme will be provided at below market rates for target groups.

With regard to disabilities, I am determined that our college communities and campuses become more reflective of our society. Students with disabilities, including intellectual disabilities, have been under-represented in higher education. This is why I am proud to announce a package of measures that will support students with disabilities through their tertiary education.

I have extended the provision of courses for students with intellectual disabilities. Eleven institutions across Ireland will provide courses this academic year and this will give students more choices and afford them the opportunity to study alongside their friends and be nearer their families. There are other initiatives in the budget but unfortunately, I do not have the time to outline them. The allocation that the Minister for Public Expenditure, NDP Delivery and Reform and the Government have allowed me to utilise will enhance the offering for students and those who work in our universities, colleges and educational training boards, ETBs, and I commend the budget to the House.

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