Increases in student charges and the targeting of fee-paying schools are among the main features of the education cuts.
Minister for Education, Ruairí Quinn has also announced changes in the allocation of guidance teachers that will force many to scale down their counselling roles in schools.
There will also be changes to the fee and maintenance grants system for post-graduate studies for new entrants, currently benefiting over 9,000 students. No maintenance grants will be paid for new entrants from the 2012/13 academic year.
The €250 increase in the student contribution charge means students will pay €2,250 from next September; other increases are likely in 2013 and 2014. The increase, which will generate about €18.5 million extra for the colleges underlines the success of the lobby organised by the Union of Students in Ireland (USI) against substantial increases in fees.
But in agreeing to an increase, Mr Quinn has reneged on a pre-election commitment in which he promised no increase in the student contribution.
At one stage, however, Mr Quinn and his officials had been considering a much more substantial increase in college fees.
The move will disappoint college heads who have been seeking a long-term sustainable funding base for higher education. Overall, the third level sector loses out under the changes announced today; the overall 2 per cent cut in both core and non core funding is greater than the new revenue flowing from the increased student charge.
Overall, the increases in class size are less than had been anticipated .
The most eye-catching change is the one point increase in the pupil-teacher ratio (PTR) from 20:1 to 21:1 in private fee paying schools. The move reflects anger among the Labour grassroots at the continuing €100 million subsidy to these schools which they regard as elitist.
But the change is certain to draw a strong reaction from many private schools, especially some Protestant schools in rural areas that are struggling to survive. The move could also see higher fees for the 27,000 pupils in private education.
There will be no increase in the general average of 28:1 for the allocation of classroom teachers at primary level. However, there will be phased increases in the pupil threshold for the allocation of classroom teachers in small primary schools.
The Institute of Guidance Counsellors has already reacted angrily to the proposed changes in the allocation of counsellors. It is promising to "vehemently oppose this Government's myopic vision of provision for guidance and counselling in second level schools."
It warned students will not be able to access one-to-one personal, vocational and career counselling if the proposed cutback is implemented.
Speaking this evening , Mr Quinn said although difficult choices had to be made to achieve savings across the education budget, the Government had prioritised resources for frontline services in the coming years.
The education allocation for current expenditure in 2012, including from the National Training Fund, will be €8.604 billion. This represents around 17 per cent of all current expenditure next year.
Savings measures being announced today will provide net savings of some €76 million in 2012 increasing to some €241 million in 2014.
The key changes in education:
Guidance: At second level, with effect from 2012/13 school year guidance provision will be managed by schools from within their standard teacher allocation. Full year saving €32 million.
Private schools: One point increase in the staffing schedule for all fee-charging schools. These changes will increase the pupil-teacher ratio for fee-paying schools to 21:1 with effect from the 2012/13 school year. Department will also conduct a specific analysis on tuition fee income available to schools in the sector and its utilisation. Full year saving €3.2 million.
Language support: The Budget contained a provision to reduce language support posts over a four-year period from an original level of about 1,400 posts to a reduced level of about 900 posts in 2014/15 school year. The current level of language support posts is about 1,120 posts. The remaining reduction of about 220 posts will be implemented in the 2013/14 and 2014/15 school years. Most of this reduction will be at primary level as this is the sector where most are currently allocated.
Teaching posts: When account is taken of additional posts for demographics at primary and second level the net overall reduction on teaching posts for the 2012/13 school year compared to the current school year is estimated to be of the order of 200 posts.
The Budget measures announced today include target savings of a further 520 teaching posts (490 posts at primary level and 30 posts at second level) that come into effect from the 2013/14 school year onwards.
Teacher allowances: Any teacher being employed for the first time in a recognised school will not be able to obtain an allowance at a level greater than that applying to those who hold an honours degree. This means that qualifications at masters or doctorate level will not be paid, and those who hold a H.Dip will not be permitted through any combination of allowances to exceed the level of allowance payable in respect of an honours degree.
This measure does not affect allowances being paid at present to existing teachers. However those teachers will not be paid any additional allowance if they acquire any further qualification. Allowances paid for qualifications that relate to specific posts will continue to be paid but will be subject to examination in the review.
Funding for Schools / School Programmes: Overall there will be a 2 per cent reduction in the funding for capitation and related grants to primary and second level schools in each of 2012 and 2013 and a further 1 per cent reduction in each of 2014 and 2015. Full year saving €20.6 million.
Modern languages: The Modern Languages in Primary Schools Initiative, which has operated on a pilot basis since 1998, will be abolished. This is a long-running pilot scheme involving approximately 500 schools. Saving in 2012/13 is set at €2.5 million, with full year savings of €2.5 million. Savings will go towards the cost of implementing the Literacy & Numeracy Strategy.
The administration fee paid to schools for the supervision/substitution scheme will be reduced from 5 per cent to 2 per cent Full year saving €1.5 million.
Higher Education: The student contribution will increase by €250 for the academic year 2012/13.
There will be a 2 per cent reduction in core funding for higher education. Full year total savings €19 million.
Student grants and scholarships: There will be changes to the fee and maintenance grants system for post-graduate studies for new entrants which currently benefits over 9,000 students. No maintenance grants will be paid for new entrants from the 2012/13 academic year. Fees will continue to be paid for those students that would previously have qualified for the special rate of grant.
The means test for student maintenance grants will be amended to take account of the value of certain capital assets as well as income. This will be introduced in the 2013/14 academic year for new entrants.
