Students used as 'cost-saving' measure says USI

The Union of Students in Ireland (USI) has accused the Government of using students as a cost-saving measure.

The Union of Students in Ireland (USI) has accused the Government of using students as a cost-saving measure.

The USI has reacted angrily to the news that there will be no changes to students' grants ahead of the next academic year, and that any future changes will be linked to the December budget consultations.

USI president Shane Kelly claimed the Government was using the "most vulnerable people" in Irish society as a cost saving measure. “The Government haven’t increased the grant in any way and that is going to make life much tougher for families already struggling,” he said.

Details of an increase in student-grant income limits from the start of the 2008/09 academic year were announced today by Minister for Education and Science Batt O’Keeffe.

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The income limits are being increased in line with movements in the average industrial wage for students in receipt of the standard rates of grant.

The top limit for grant eligibility where there are less than four dependent children has been increased from €48,335 to €49,690. This ensures over 56,000 students from households with moderate incomes will not have to pay the student service charge, a statement from the Minister said.

But Mr Kelly said while inflation is running at 4 per cent, this effectively amounts to a decrease in the financial supports being offered to students.

“We have again seen extraordinary delays in these announcements, which only serves to compound the problems, not only will students receive totally inadequate grants, they will more than likely be late this year again”, he said.

For some 13,000 students in receipt of the higher, special rate of maintenance grant, the annual income threshold is being increased by 11.6 per cent from €18,055 to €20,147 in line with the relevant social welfare comparators.

Fine Gael's spokesperson on education Brian Hayes said linking student grants to the annual budget process showed that the Government intends to slash education finances.

Mr Hayes the spin "spouted by the Government last week about how Education and
Health would be exempt from cutbacks has been shown to be just that: Spin
and lies".

He accused the Minister of selling everyone involved in education "down the river".

Mr O'Keeffe indicated that current rates of maintenance grants would continue to apply up to the end of 2008.

“Increases in student grants will, in future, be considered as part of the annual Budget process in December each year and rates will become effective on a financial, rather than an academic year basis. Student grant rates from January 2009 will be considered in the context of the December budget,” he said.

The Minister continued: ”These increases in the income limits will serve to ensure that students from families on low to middle incomes will continue to benefit from State support towards the living costs associated with participation in third-level education.”

The 2008/09 student grant schemes have been issued to the awarding bodies - the local authorities and the VECs. The schemes can be accessed and/or downloaded from the "Students & Trainees" section of the website of the Department of Education and Science at www.education.ie