Dempsey stands his ground in fees row with PDs

The Minister for Education has sharply raised the stakes in the row over third-level fees with a passionate defence of his plan…

The Minister for Education has sharply raised the stakes in the row over third-level fees with a passionate defence of his plan to reintroduce fees for children of high earners, writes Mark Hennessy, Political Correspondent.

Mr Dempsey is under pressure to finish the review as quickly as possible, perhaps by next week's Cabinet meeting, as ministerial concern grows about the damage being caused by the controversy.

Under the latest timetable offered by Mr Dempsey, the review of the system was not due to be finalised until early June. However, the Taoiseach, Mr Ahern, guaranteed the Cabinet would decide "before the Leaving Certificate starts" on June 4th, which means Mr Dempsey's proposals would have to be ready much earlier.

Following a spirited defence of his actions in the Seanad last night, the Minister made it clear he wants to stick to his original schedule.

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Effectively putting his Cabinet place on the line, the Minister said "no civilised society" should tolerate a system where access to third level is decided by one's address or family background, rather than by academic ability.

"Can we as a society continue to justify the expenditure of millions of euro from within the finite resources available for student supports in order to meet the costs of free fees for the children of those in the highest income brackets when, at the same time, all the evidence tells us that those at the other end of the economic spectrum continue to be excluded from third-level education by virtue of, amongst other factors, inadequate supports? You may be comfortable with that. I am not," he said.

The Minister is now in a stand-off with the Progressive Democrats and Fianna Fáil Cabinet colleagues, most of whom are now deeply angered by his handling of the controversy. His credibility will be in tatters if he fails to secure the return of fees in some form.

A number of Fianna Fáil ministers accept that those on high incomes should pay college fees. "But there is realpolitik as well. And the politics of this says, 'Let it alone'," one source told The Irish Times.

The Taoiseach left open the possibility that students from families earning more than €200,000 a year could be charged. More than 10,000 taxpayers fall into this category.

"There is a sizeable number who earn over €200,000 and they pay nothing at all for the education system. I do not think that that is right," Mr Ahern told the Labour Party leader, Mr Rabbitte.

The Progressive Democrats again warned that they would not accept the return of fees, or the creation of a loans system.

Free secondary education was the right option for Ireland in the 1960s, said Progressive Democrat Senator John Dardis: "Free third level is the right option now."

According to provisional figures yesterday from the Revenue Commissioner, 401 taxpayers earn over €1 million a year, 573 people earn between €750,000 and €1 million, while 1,521 more earn between €500,000 and €750,000. In total, 53,485 people have a gross income of more than €100,000, the Minister for Finance, Mr McCreevy, told Labour's education spokeswoman, Deputy Jan O'Sullivan.

However, the Revenue Commissioners figures do not reveal how many households have a combined income of over €100,000.

Clearly irked by the criticism from within the Fianna Fáil Parliamentary Party, Mr Dempsey told one of his predecessors in the Department of Education, Senator Mary O'Rourke: "Much has changed in the 10 years since you were in the Department of Education and Science. The one thing that has not changed for the better is the number of people from disadvantaged backgrounds. The aim of the review is to ensure that the benefits of substantial investment is maximised."