Duncan Smith (Dublin Fingal East, Labour)
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On a positive note, this is my first Topical Issue of this Dáil term. In the last term, too many Topical Issues would have been taken by one Minister of State. What we have tonight is a selection of Ministers and Ministers of State who are directly related to the topic. I hope that continues as much as possible through this Dáil term. It is something we brought up at the Dáil reform committee in one of its rare outbreaks of constructive discussion so far.

I would like to raise the matter of the financial constraints impacting many schools, which was also raised on the first Topical Issue matter this evening. I would like to raise it with specific reference to St. Cronan’s Junior National School in Swords. St. Cronan’s Junior National School is an amazing school. I know it is very easy for a TD to say that about any school in a constituency but it is true of St. Cronan’s Junior National School. The work it does specifically in the area of special education would take your breath away. Unfortunately, what has taken away the breath of the school in the last couple of weeks is the latest electricity bill, which came in at nearly €22,000 when split between the junior and senior national schools. This compares with a bill last year of about €8,000, so it has gone up by approximately €14,000.

The school is tied to a rate that is agreed through procurement with the Department. The previous rate per kilowatt was 5 cent and 7 cent and this year it is 14 cent and 15.82 cent. That is actually a competitive rate in the marketplace so the complaint is not about the rate as such, but that the school is tied into it, as are other schools. This highlights the leap in cost to the school due to electricity prices.

It has to pay this out of the capitation grant, for which it gets approximately €100,000 per year. That may sound like a lot of money but when it has 500 students and has to pay insurance, cleaning, heat, light and other expenses, it quickly gets eaten up. Schools are struggling to break even and 70% are running in deficit, as we know. Therefore, the responsibility is then placed on parents through voluntary contributions and school fundraisers, which are becoming increasingly difficult as the cost-of-living crisis continues to bite.

The Minister of State responded earlier that there will be an increase in the capitation grant rate in September 2025. I do not think this will be enough for this or other schools to meet the heating and electricity costs that face them. This needs to be looked at within a budgetary cycle and I ask the Minister of State to take that back to the Department.

What is happening with the likes of St. Cronan's and other schools is unsustainable.

I wish to highlight how creative and forward-thinking schools like St. Cronan's are. It put some solar panels on its roof a couple of years ago. It was done through the emergency works scheme. It got approximately 15 or 16 solar panels, which is equivalent to the average semi-detached home. It is not a lot. It meant the school got about €200 back last July in credits so it is very marginal. When the school applied to get more solar panels through the previous Government's solar panel scheme for schools, it was told it was not allowed because it already received a few solar panels through a different funding stream. Something that could be done very quickly would be to relax the rules to ensure that schools that got solar panels through another scheme can avail of the solar panel scheme to increase their energy efficiency. That could be done instantly. I am interested in hearing the Minister of State's response. Sacred Heart Junior National School in Killinarden and many other schools are not coming forward to state that they are facing the same financial challenges as those faced by St. Cronan's.

Marian Harkin (Sligo-Leitrim, Independent)
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I thank the Deputy for giving me the opportunity to outline to the House, on behalf of the Minister for Education, the position regarding the financial situation in St. Cronan’s Junior National School in Swords. I fully accept that the school does extraordinary work.

The Department of Education was not made aware of the current situation regarding the financial position of this school. The Department is committed to offering all available and appropriate supports to the school as quickly as necessary to avoid any further uncertainty. In order to support the school, some more information is needed about the school’s financial situation. The Department made initial contact with the school on this matter on 18 March 2025. The school has confirmed that the issue relates to a massive increase in electricity costs. It is working with the financial support services unit, FSSU, and the Office of Government Procurement, OGP, framework on the matter.

The Department is committed to providing funding to recognised primary and post-primary schools in the free education scheme by way of per capita grants. The two main grants are the capitation grant to cater for day-to-day running costs such as heating, lighting, cleaning, insurance and general upkeep and the ancillary grant to cater for the cost of employing ancillary services staff. Schools have the flexibility to use capitation funding provided for general running costs and ancillary funding provided for caretaking and secretarial services as a common grant from which the board of management can allocate according to its own priorities, except for the employment of relevant secretaries as per Circular 36/2022.

As part of the capitation package in budget 2025, the Department is pleased to have secured over €30 million as a permanent increase in capitation funding to assist schools now and in the longer term with increased day-to-day running costs. This represents an increase of around 12% on current standard rates and enhanced rates. This increase is on top of the circa 9.2% increase from last year’s budget. This will bring the standard rate of capitation grant to the level of €224 per pupil in primary schools from September 2025. Enhanced rates will also be paid in respect of pupils with special educational needs and Traveller pupils.

Schools should also ensure that they are availing of the available OGP procurement frameworks and getting best value for money for all school expenditure. The FSSU, funded by the Department, is an important source of advice and support to schools on financial matters, including budgeting and cash flow management, and is actively engaging with the school in question.

Duncan Smith (Dublin Fingal East, Labour)
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The school contacted me this afternoon to acknowledge that contact had been made with the Department. It is working through it. I discussed whether the school wanted me to continue to raise this issue tonight and it indicated I should because this is a wider issue that will continue.

The Minister of State stated that schools have the flexibility to use their capitation grants. Schools are bending over backwards multiple times to be as flexible as possible to stretch the money they are getting to ensure the light and heat stay on and the school remains clean. The free books scheme is brilliant, as is the school meals programme, of which I am a great fan because it has been a wonderful innovation and has accelerated in the past couple of years. St. Cronan's is availing of that scheme. These schemes will be damaged if we do not get the basics right or do not fund schools. Students end up being taught in cold rooms or rooms that must be dimly lit or not lit at all. It is not about striking the crisis bell. It is about acknowledging, in a rational and calm manner, the seriousness of this issue.

We have great school principals. We have young principals with many more years left to give who are probably spending too much time having to sort out and meet financial deficits and needs that should be borne by the State so that they can focus on the provision of learning, special education and everything we want to see our teachers and educators working on, as opposed to basic administration which should be resolved. We will come back to this again.

I ask the Minister of State to take the issue of solar panels away immediately. It could be looked at. The Labour Party will make provision for increased capitation in our alternative budget this year.

Marian Harkin (Sligo-Leitrim, Independent)
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I again thank the Deputy for giving me the opportunity to outline the position regarding the financial situation in St. Cronan's Junior National School in Swords and the ongoing support the Department of Education is providing. In addition to the grants I mentioned, €45 million in cost-of-living supports issued in November 2024 to support all recognised primary and post-primary schools in the free education scheme. This additional funding announced in budget 2025 is designed to assist schools with increased day-to-day running costs such as heating and electricity. This funding was paid at a rate of €36 per pupil in primary schools. Enhanced rates were also paid in respect of pupils with special educational needs and Traveller pupils.

I hear what the Deputy is saying and I am aware that there has been a significant increase in costs and that it is a wider issue. I also hear what he said about solar panels. I will certainly bring that to the attention of the appropriate Minister because it is worth looking at.

The FSSU, on behalf of the Department, plays a crucial role in this process. In order for the Department to properly assess the current financial situation, the school needs to engage with the FSSU for this purpose. I believe that engagement has started. The Department will refer the school to the FSSU once confirmation of the situation has been confirmed by the school, which I believe has already started.

Ruairí Ó Murchú (Louth, Sinn Fein)
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I concur with what Deputy Duncan Smith said about all the Ministers showing up. We did not see this before and I think it is very beneficial.