Hanafin aims to set up single body to pay student grants promptly

A GRANT scheme under which college students would no longer have to wait months for payment will be in operation from next year, Education Minister Mary Hanafin has said.

At present, the 56,000 recipients of €209 million in student support grants must apply to their local council or Vocational Educational Committee (VEC), depending on the college or course they attend.

Ms Hanafin told the Dáil she is aware that some councils and VECs are much better than others in the timing of payments but that students have been left waiting even beyond Christmas for the initial grant. She hopes to have a grant scheme run by a single body operating for the academic year 2006/2007. Discussions are ongoing between her department and organisations representing local authority managers and VECs.

“The current position is outrageous because some counties are slow to transfer grants. A unified scheme will mean a specific body will have responsibility which can then be overseen in the proper manner,” the minister said. “I’m anxious in the interests of students to have an accountable and fair system, particularly given the number of students - 56,000 - affected. It is important, therefore, that the money spent on grants each year is properly spent and students receive them when they need them.”

While the Department of Social and Family Affairs would not have direct responsibility, it is likely to have a significant input because of its experience of assessing means of social welfare applicants.

The Revenue Commissioners are also being consulted with respect to verification and anti-fraud measures.

Ms Hanafin said the new scheme would be given statutory underpinning by a Student Support Bill, to be introduced after a strategy is decided by the autumn. The 2002 Programme for Government gives a commitment to introduce a unified and flexible grant payment scheme. Labour Party education spokeswoman Jan O’Sullivan welcomed the proposals but reminded the minister that one of her predecessors, Micheál Martin, said in September 1997 that he hoped to have such a system in place by early 1999.

The Union of Students in Ireland (USI) supports the introduction of a scheme operated by a single body, but its main argument is that the current grant rates are not enough to cover students’ educational and living expenses.

The maximum grant payable to students at college away from home is almost €3,000, rising to a special rate of €4,855 for those whose family income is below a certain level.