The standard maintenance grant paid to some 56,000 third-level students is to increase by 10 per cent from September, with "top up" grants for disadvantaged students also set to rise by over 14 per cent, the Minister for Education has announced.
Outlining details of the increases yesterday, Mary Hanafin said the maximum rate for the ordinary grant would rise to €3,420, or twice the rate of inflation. The maximum rate of the special or "top up" grant will increase to €6,690, while students who qualify will also have their student service charge paid on their behalf.
Annual income thresholds to qualify for the grants are to be increased by 3.5 per cent for the ordinary maintenance grant and 7.8 per cent for "top up" grants, Ms Hanafin added. Some 12,500 students currently qualify annually for this grant, with the new threshold now set at €18,055.
The increases in the rate of grants to students were welcomed by the incoming president of the Union of Students in Ireland, Richard Morrisroe, who took up his new post yesterday.
However, he said the grants still failed to sufficiently cover the costs associated with student life, and noted that the 3.5 per cent increase in the income threshold for the ordinary maintenance grant had failed to keep pace with inflation. He also called for a fundamental reform of the system of grant allocation, with particular focus on the self-employed.
This follows concerns that individuals who may have significant assets are able to manipulate the system to obtain a grant.
Last year, it emerged that Government contributions and interest on SSIA accounts over a year are considered as part of the assessment for third-level maintenance grants.
"I would like to see eligibility for grants administered based on wealth as well as income," he said. "Some wealthy people are able to manipulate the system as it currently operates . . . anyone who is self-employed has the scope to do this. I want to see reform of the system to ensure that all students are treated equally," said Mr Morrisroe.
He added that many students continued to face significant delays in receiving payment of grants from individual local authorities and Vocational Educational Committees, as well as payment of the student service charge. He said he was personally aware of a number of cases where students did not receive their grants until February of this year, and reimbursement of the student service charge until March.
Ms Hanafin said full details of the student support schemes for the coming year would issue to local authorities and VECs shortly. This meant that the schemes would be made available a month earlier than in 2006, and would facilitate a substantial level of service improvement for students, she said.
Details of the 2007 student grant rates and income limits are available at the department's website, www.education.ie.
Yesterday evening was also the closing date for receipt of "change of mind" forms for CAO applicants.