Richard Bruton (Dublin North Central, Fine Gael)
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Question 137: To ask the Minister for Education and Science the price index, and the date at which it was measured, used to increase the value of maintenance payments under the higher education grant in the 2007/2008 academic year; if it is intended to index these payments in 2008/2009; and the index that will be used. [31814/07]

Richard Bruton (Dublin North Central, Fine Gael)
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Question 138: To ask the Minister for Education and Science the index of earnings, and the date at which it was measured, used to increase the value of income thresholds for higher education grants in 2007/2008; if it is intended to index those thresholds in 2008/2009; and the index that will be used. [31815/07]

Mary Hanafin (Dún Laoghaire, Fianna Fail)
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I propose to take Questions Nos. 137 and 138 together.

It has been my Department's approach in recent years, to increase the value of the grant under the student maintenance grant schemes annually at least in line with inflation.

Similarly in relation to the reckonable income limits under the maintenance grant schemes, the practice in recent years has been to increase the limits at least in line with movements in the average industrial wage in the previous year.

I am pleased to be able to inform the Deputy that I have secured approval for a 10% increase in the standard rate of student grant with effect from September 2007. This very substantial increase, at twice the rate of inflation, will benefit over 56,000 students who receive a maintenance grant to attend higher and further education. This will mean an increase in the maximum rate of ordinary grant to €3,420 for 2007/2008 academic year and students who qualify will also have the student service charge paid on their behalf.

The reckonable income limits for ordinary maintenance grants have been increased by 3.5% for the 2007/2008 academic year. This increase exceeds the increase in the average industrial wage for the September to September reference period. The top limit for grant eligibility where there are less than four dependent children has been increased from €46,700 to €48,355, ensuring that a significantly higher number of students from households with moderate incomes will not have to pay the Student Service Charge of €825.

In addition, over 12,500 students in receipt of the "Special Rate" of maintenance grant will benefit from an even more substantial increase of over 14%, with the maximum rate for 2007/2008 increasing to €6,690. The prescribed income limit for the special rate of maintenance grant for the academic year 2007/2008 is €18,055.

Financial barriers have long being recognised as a major disincentive for many students who wish to access third level education. This significant increase in the ordinary rate of maintenance grant, at twice the level of inflation, will make the third level option more affordable for a broad range of students and their families. In approving an even higher increase in the special rate of maintenance grant, I am further targeting that support at those most in need, to encourage access to further and higher education for everyone.

This Government's continued commitment to supporting high rates of participation in third level education at all levels of society will ensure that Ireland continues to attract and maintain investment in high quality jobs and that the fruits of the economy can be enjoyed by all.

The new schemes can be accessed and/or downloaded from the "Students and Trainees" section of the Department's website at

www.education.ie.