Seán Sherlock (Cork East, Labour)
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495. To ask the Minister for Education and Skills if she will take into account the cost-of-living increase and outgoings for applications. [36281/22]

Simon Harris (Wicklow, Fine Gael)
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On 4th May I launched the Funding the Future framework which includes the Government's policy response to the Cassells and DG Reform Reviews on the future of higher education and which sets out my intention to implement a progressive range of measures to address costs as a barrier to education, in the context of overall Budgetary decision-making. 

The Government has now made important decisions about the sustainable model for future funding of higher education.  Critically, we have definitively taken student loans off the table.  We have instead chosen a mixed model of investment, which includes funding from the Exchequer, employers and from students. 

The importance of the Student Grant Scheme Review has been underlined by the rise in the costs of living across society which have adversely affected students more than others. To address this and further alleviate the pressures arising from the rise in costs for students and their families I initiated improvements for the academic year 2022/23 by increasing all student grant maintenance payments, including the special rate of grant, by €200 per year as well as increasing the qualifying income thresholds (except special rate) by €1,000. I have also introduced changes to the criteria for the higher non-adjacent rate of grant which means that from September 2022, the qualifying distance for the non-adjacent rate of grant has been reduced from 45km to 30km. In this way the scheme is responsive to eligible students who reside further away from college by providing an increased rate of student maintenance grant. These changes will benefit thousands of students and will build on the improvements that have already been made through this year’s student grant scheme.  

I want to see the student contribution in higher education reduced in a meaningful way over the course of future Budgets. I want this done in a way which does not negatively impact on the sustainable core funding for higher education. Higher Education Institutions currently receive c.€434m from student contributions. That breaks down as €248m from students and circa €186m from the Exchequer through SUSI. In addition the Exchequer currently contributes €340m to meeting the tuition fee costs of eligible undergraduate students in higher education.

In advance of the Estimates process,  I intend to publish a paper outlining potential options and impacts, to be considered in the Budgetary process, related to the Student Grant scheme and other programmes related to student supports and costs of higher education, including with respect to those priorities identified in the Student Grant Scheme Review.

My Department also provides funding by way of the Students Assistance Fund to students in eligible Higher Education Institutions who are experiencing financial difficulties while attending third level.  The total allocation for the Fund in the 2021/22 academic year, including additional Covid supports, is € 18.5 million.