Joan Burton (Dublin West, Labour)
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Question 61: To ask the Minister for Education and Science the action she is taking to prevent many universities falling into deficit this year; if she will meet with the heads of the universities to discuss their concerns regarding a funding shortfall; and if she will make a statement on the matter. [7983/05]

Mary Hanafin (Dún Laoghaire, Fianna Fail)
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This Government has been investing heavily in our higher education system and in our third level research infrastructure. An amount of €671.6 million has been allocated to the university sector for 2005. This is an increase of over €41 million or approximately 7% on the 2004 outturn for the sector. The additional funding being provided in 2005 marks a return to the significant upward trend in recurrent funding for the sector and will assist in meeting pay and other cost pressures. It is a matter for each institution to manage its affairs prudently using the funding allocated to it.

The overall provision by my Department to the third level sector, capital and recurrent, will amount to approximately €1.6 billion in funding in 2005. In 1997, when this Government took office, the amount of funding provided to the third level sector was approximately €850 million. The funding being provided in 2005 represents an increase of approximately €750 million or 88% on the 1997 provision.

The OECD review of Irish higher education highlighted the key role of the sector for our future social and economic development. This echoes the report of the Government enterprise strategy group, which states that Ireland's economic development, and the social dividends that flow from that, will depend to a large degree on knowledge and innovation. Supporting our higher education institutions in playing that central role is a major policy priority for the Government.

I have recently met with the heads of universities as part of my consultations on the priorities for moving forward with the implementation of the OECD report. In recognising the importance of a vibrant higher education sector for our future national objectives, I am committed to continuing to work closely with university leadership in advancing progress.

The Deputy will also note that there is a 29% increase in third level research funding as part of the 2005 Estimates. This is evidence of my personal, and indeed the Government's, commitment to research programmes, which play a vital role in developing world class capabilities in research and innovation and give the higher education institutions the necessary resources to meet the challenges of the knowledge society in Ireland.