WHETHER developing a strong education sector without the reintroduction of third level fees is economically possible is the question all involved in the fees debate are arguing over.

The USI, Labour Party and Fine Gael are all against reintroduction while IBEC and the heads of Irish universities support the move. Fianna Fail also appear to favour fees although it has not been officially confirmed.

However, realistically, with the economy in recession, and the sector itself seemingly in favour of the idea, it seems reintroduction is highly likely.

Currently universities are wrestling with an average operational deficit in excess of €7m, whilst smaller colleges like BCFE battle with chronic underfunding. According to a report commissioned by the Department of Education, fees generated solely from students with a family income level of more than €120,000 would generate €500m in
revenue, a huge sum for a sector in dire financial straits. However, it should be noted opposition parties believe the €500m estimate to be grossly exaggerated.

One of the main points put forward by both sides of the debate concerns accessibility to third level education for those in difficult financial circumstances.

Advocates for fees claim that the reintroduction would not make gaining a third level education unattainable for those struggling students.

They argue that the true beneficiaries of the ‘free fees’ system introduced in 1995 were the middle and upper classes who could afford to pay but, following the abolishment, would not be required to.

According to these groups, prior to the fees being scrapped those without the means to progress into third level were funded by the grant system funded by the fees paid by their wealthier peers. Groups who oppose the reintroduction contend this point.
The Irish University Association which represents each of the seven heads of the country’s universities says it “welcomes any willingness from the Minister for Education to re-examine how the sector is funded”.

In his address to the Dublin Economic Workshop, while advocating reintroduction, Professor Gerry Boyle of NUI Maynooth, said “the current free fee regime can no longer be justified on the grounds of increasing access [for students from less financially secure backgrounds]. If Irish Higher Education institutions are to attain world-class status then the sector will require substantially greater resources than at present”. The words of Prof. Boyle outline the argument being put forward by the majority of those in favour of a return to the pre-boom system of third level fees.

The current uproar is a repeat of events that occurred in 2002 when the government first announced plans to bring back fees.

That year, Noel Dempsey, during his term at the helm of the Department of Education, proposed that students from families with an annual income of more than €200,000 should pay fees. This was met with widespread public outcry at the time. Students took to the streets in protest and eventually Minister Dempsey shelved the controversial plans. But, changes in the country’s economic health could mean that third level fees have become an economic necessity.

Currently universities and colleges are run predominantly on government funding. This funding has failed to match inflation levels since fees were abolished, forcing many institutions to operate in deficit. In reaction to a lack of funding, some colleges, most notably UCC moved closer to elements in industry to develop alternative revenue streams.

This method whereby colleges were provided with agreed incentives from the Government to allocate to specific courses to churn out certain types of graduates who would go on to work in related industries was seen as being to the detriment of more traditionally academic courses.

The Government thinking behind such incentives was that a large number of highly educated and employable graduates would attract multinational corporations into the country. The multinationals would bring in tax revenue and the graduates would move quickly through the ranks of the company, thus supplying the exchequer with high income tax payments.

Elements in the third level sector claim that this leaning in funding towards industry-related courses has devalued courses for ‘the thinking man’ like philosophy, sociology and art. It is a point referenced regularly by those who oppose fees. It’s based on the thinking that forcing students to take on large amounts of debt to pay fees as they enter third level forces them to choose courses that offer employability rather than cultural or social developmental prospects. Simplified, they support a fee free third level sector because in theory it helps to produce proportionate numbers of scientists to philosophers.

In its press release regarding their stance on the issue the Labour Party said “fees would serve as a disincentive to those who want to attend third level. They completely undermine the ’saints and scholars’ spirit of Ireland”.

The Government and lobbyists from the sector dispute this claim, stating that “the economy simply cannot afford to continue spending the money currently being allocated to funding third level institutes”.

USI President Shane Kelly says the ‘economically not viable’ argument is a myth, “It’s a fact that graduates earn more, they therefore pay more tax which in turn pays for hospitals, schools and improves the economy. Free fees are not a cost, they’re an investment”.

Clearly both sides of the debate have merit. Like most things in life it looks likely to boil down to money. Although it is almost impossible to simplify such a deeply complex issue, it seems the questions that most require answers are: If the country funds the third level sector in the short term will graduates cover those costs in their tax returns in the long term?

Can the universities continue providing a high quality education on the comparatively meagre funds put forth by the government?

If the third level sector continues to operate under the current financial constrains placed upon them by a lack of funding will the value and quality of having a third level education from an Irish institute diminish?

What the correct answers are, will no doubt be argued over vehemently in the forthcoming months. Whatever the results, they may affect thousands of Irish citizens for decades to come.