USI Student Guide to Budget 2014
October 2013
Student Maintenance Grant The rate and the threshold of the Student Maintenance Grant have been protected, and have not been reduced or altered in Budget 2014. There are no changes to the student grant scheme as a result of this Budget. Back to Education Allowance (BTEA) There are no changes to BTEA rates for any existing recipients. There are no changes to the maximum rate for new applicants on BTEA who are aged 24 and under. It remains at €160. The maximum rate for 25 year old new entrants on BTEA will also be €160 from January 2014, compared to the maximum rate of Jobseekers’ Allowance for 25 year olds which will now be €144. All new entrants over 25 will see their BTEA equalised with their full social welfare entitlement, as was previously the case. Please note there has been a reduction to social welfare payments depending on age. Student Contribution Charge Following the scheduled incremental €250 increases announced in Budget 2012, the charge now will be €2,750 in 2014 and €3,000 in 2015. USI is committed to campaigning for this charge to be reduced to pre-crisis levels in line with economic recovery. Higher Education Institutions The reduction in funding allocated to third level institutions of €25 million which was due to be reversed this year (2014) will remain in place for a further year (to 2015). It is vitally important that any funding cut does not disproportionately impact on frontline student services and supports. USI will continue to campaign alongside local Students’ Unions on this.
Youth Guarantee 14 million euro will be invested in the Youth Guarantee. This is a scheme which will provide work experience opportunities for young people when they are out of work and education. This would allow young people who are out of work, training or education for a number of months to be placed on an internship, apprenticeship or training programme. USI has campaigned strongly for the European Youth Guarantee to be implemented and adequately funded in Ireland, and welcomes this move. However we hope the funding announced today represents only a starting point in addressing the unemployment crisis facing Ireland’s youth.
DIT Grangegorman Campus This long awaited project is due to receive its capital investment of 200 million euro at the end of the month as agreed in July. This will give Dublin Institute of Technology students a centralised and state-of-the-art campus in the heart of Dublin city. 13,000 direct and many more indirect jobs are expected to be created by this programme.
Teaching posts 1,250 new classroom and resource teachers are to be recruited. This will provide more opportunities to graduates of education programmes.
Excise Duties There will be no increases in excise duty on petrol; this is a welcome measure for student commuters. There will be no increase in petrol, diesel or on home heating oil and gas. Taxation Measure There will be no increases in income tax or the Universal Social Charge in 2014. VAT rates are to remain unchanged.
Air Travel Tax wiped out The air travel tax rate has been abolished. This is good news for students on international placements, ERASMUS programmes, seeking J1 visas and equivalents.
Infrastructure Projects Programme for Research in Third-Level Institutions (PRTLI) funding has been put in place for 20 research infrastructure projects.
Start Your Own Business Scheme 2 year income tax exemption for long-term unemployed people setting up their own unincorporated business. Student Parents - There are no changes to child benefit. - There are no changes to the Back to School Clothing and Footwear Allowance. - A further €5 million has been invested in the Books to Rent Scheme for primary school. - Free GP care for children under 5s will be introduced. Mental Health €20 million investment in community mental health services. This is a welcome development however USI will continue to campaign for the full €35 million committed in the Programme for Government to be allocated for delivery of these hugely important services. Tourism and Hospitality sector 9% VAT has been retained – This is a welcome measure for not only hospitality and tourism students but also those working part time in this sector.