I thank the Chairman. I thank the committee for rescheduling this meeting, which was due to be held in the summer but was postponed due to a bereavement. I thank my officials for joining me today.
My Department is committed to supporting the success of all learners and drive improvements in the overall performance of the tertiary education system as well as providing continued support for world class research and innovation in Ireland. Last week, as part of the budget, I announced an overall package of €4.545 billion for my Department, providing for a major capital and current funding package for tertiary education along with measures to reduce the cost of education and tackle the cost of living.
We know that investing in skills is essential to maintaining the productivity and competitiveness of the Irish economy, and it is a priority to supply apprenticeship and training provision that meets the skills needs of industry now and into the future. Last week, I announced an investment of €77.4 million for the apprenticeship system. This represents the single largest investment in core apprenticeship funding since the formation of my Department and will support the continued growth of craft apprenticeships with 6,800 registrations in 2025, strengthening the construction workforce. We will grow our diverse apprenticeship offering, which currently ranges from hairdressing to cybersecurity, and support essential projects enabling a transition to a single national apprenticeship system. I also announced a €20 million skills package to sustainably use the National Training Fund, NTF, surplus. The measures will future-proof workforce skills in SMEs and other enterprises to ensure workers can readily access lifelong learning opportunities.
A major milestone has been reached in closing the core funding gap in higher education raised as part of the Funding the Future policy framework. This includes a multiannual investment that will increase core funding by a further €150 million per annum by 2029. Over the period 2025 to 2030, we will provide an additional €650 million in core funding to the higher education sector from the NTF. In 2025, we will increase core funding for higher education by €58.7 million through the Funding the Future initiative. This funding will allow the sector to increase staffing levels and strengthen capacity. It will provide for greater alignment of provision with priority skills needs and support the further development of tertiary degree programmes, increasing pathways to education. NTF funding will also support capital projects in a range of areas, with €600 million being invested across the provision of innovative equipment for the further education and training, FET, sector, the development of research infrastructure, key training facilities for specialist skills, universal design for learning and decarbonised training facilities.
The Department and I recognise that is vitally important that we continue to support students who need financial assistance, so all student grants and student part-time fee thresholds will be increased. The special rate of maintenance threshold will increase from €26,200 to €27,400 and there will be at least a 15% increase to all other thresholds. PhD stipends will increase from €22,000 to €25,000 per annum. Along with a number of cost-of-living measures, actions include: a 33% reduction to the student fee for 14,000 apprentices attending higher education institutions; a €1,000 reduction in the student contribution fee; an increase to the postgraduate fee grant from €4,000 to €5,000; and an additional €10 million for the student assistance fund to support tertiary students experiencing exceptional financial need.
I also recognise the significant challenges students face in securing appropriate affordable accommodation to enable their participation in higher education. I have secured investment of €7.5 million annual and recurrent funding for student accommodation initiatives in addition to the €100 million capital investment already committed through the national development plan, NDP.
Some €6 million of this will support the activation of approximately 1,200 student accommodation beds for long-term leasing as part of the technological university student accommodation programme. At least 30% of all beds activated under this programme will be provided at below market rates for target group students. The programme will prioritise new developments of student accommodation for leasing in conjunction with private providers and the higher education providers and will provide essential supply in key campus areas. Implementing the various policy responses for student accommodation across the sector will require dedicated resources, so €1million is being made available to ensure a strategic standardised approach is adopted across the sector.
The Department and I are determined that our college communities and campuses become more reflective of our society. We know that students with disabilities, including intellectual disabilities, have been under-represented in higher education. That is why I have extended the provision of courses for students with intellectual disabilities and 11 institutions across Ireland will provide courses this academic year. This will provide more choice for students and afford them opportunity to study at college alongside their friends and family. The fund for students with disabilities will increase by more than 18% to help students with disabilities as they enter third level and during their time on campus. The fund provides institutions with the resources to offer supports such as non-medical helpers, learning supports and assistive technologies to enable eligible students with disabilities, so that they can participate on an equal basis with their peers. I also look forward to the commencement of a pilot project to identify the most impactful interventions and supports for students with disabilities. The aim of this is to create a person-centred model of support that will be flexible and responsive to the students' needs.
I am proud of the work of the Department in progressing the tertiary education system, ensuring that it is accessible to all and meets the skills needs of our country. I am also pleased to confirm my commitment to utilise the NTF surplus by providing vital additional resources to fund research, higher and further education, skills and development.