Mary Upton (Dublin South Central, Labour)
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Question 175: To ask the Minister for Education and Science the progress on the commitment in the programme for Government to double the primary school capitation fee; if his attention has been drawn to the fact that nearly every school has a funding shortfall for essential services and that this has to be made up through fund-raising; his views on the inequality in funding for schools as the fund-raising abilities of parents in disadvantaged areas are clearly less than those of middle and upper income families; the action he will take to reduce this inequality; and if he will make a statement on the matter. [43200/08]

Batt O'Keeffe (Cork North West, Fianna Fail)
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This Government's continued prioritisation of education over the last 11 years is evidenced from our investment in 2009 of €9.6 billion — over treble what it was in 1997. The increase of €302m in the Education budget for 2009 is a real achievement in the current economic climate. Education is one of only three Government Departments to have increased funding in 2009. The commitment in relation to doubling the capitation grant to primary schools can only be looked at and considered in the context of the overall economic and budgetary position.

While I appreciate that the abolition of certain grants will make it a challenging year ahead in terms of the day to day funding of schools I have prioritised funding for primary schools. The Education Budget for 2009 has provided for improvements to capitation and ancillary grants for primary schools which will increase from €167 million in 2008 to almost €190 million in 2009. This builds on the progress that has been made in recent years that has seen the primary school capitation grant increased from €81.26 per pupil in 2000 to its current rate of €200. This represents an increase of 146% in the standard rate of capitation grant since 2000. The budget improvements involve an increase of more than €21 to bring the rate to €200 per pupil and the ancillary services grant for primary schools will also be improved by €3.50 to €155 per pupil.

Taken together, these increases mean that primary schools eligible for the full ancillary services grant will get €355 per pupil — or almost €25 extra — in this school year to cover their day to day running costs, with a primary school of 300 pupils getting €7,475 more. In 2000, a primary school with 300 pupils was in receipt of less than €40,000 to meet its day to day running costs. That same school under these new rates will receive €106,500. This excludes the salary of teachers and Special Needs Assistants which are paid by the Department. Furthermore, enhanced rates of capitation funding are paid in respect of children with special educational needs who attend special schools or special classes attached to mainstream schools. The current rates range from €512 to €986 per pupil — an increase of 59% from the rate in 2006.

My Department recognises the additional funding pressures that arise in schools serving disadvantaged areas. A very significant number of schools — about a fifth of all primary schools and almost a third of our second level schools — are within the Department's DEIS programme for disadvantaged schools and get additional funding that recognises this. In the region of €800 million will be spent by the Department this year on tackling educational disadvantage at all levels — from pre-school to further and higher education. This represents an increase of nearly €70 million on the comparable 2007 figure and is testament to the Government's determination to prioritise social inclusion and ensure that children and young people get the supports they need to do well at school.

We are committed to investing in education but we have to invest at a level that is consistent with what we can afford and what is sustainable at the moment given economic circumstances. I am confident that as the global economy improves it will be possible to build again on the significant achievements of recent years and do so in a manner consistent with overall prudent management of the Irish economy.