Budget 2025: Major Capital and Funding Package for the Tertiary Sector

• €650m core funding package for Higher Education, addressing Funding the Future by increasing core funding by a further €150m by 2030;
• €600m capital uplift including €150m to provide key training facilities in the areas of Veterinary, Medicine, Nursing, Pharmacy and Dentistry; €150m for the decarbonisation of the tertiary estate; €150m for the Further Education and Training sector and €150 million for the Research sector;
• €235m for the tertiary sector as one-off current funding including skills and apprenticeships.

• A once off 33% reduction to the student fee for 14,000 apprentices attending higher education institutes.
• A once off €1,000 reduction in the student contribution fee that will benefit an estimated 103,000 higher education students who are eligible for the free fees initiative.
• €9 million funding from the NTF to increase PHD stipends from €22,000 to €25,000 per annum.
• A once off increase to the Postgraduate Fee Contribution Grant from €4,000 to €5,000 for eligible students.
• A once off additional €10 million for the Student Assistance Fund.
• Increasing the Rent Tax Credit from €750 to €1,000 for students living in purpose-built student accommodation, private rentals, digs, or rent a room arrangements.

In addition, improvements to the Student Grant Schemes effective from September 2025 include:

• Increasing the Special Rate of Maintenance Grant threshold from €26,200 to €27,400.
• Increasing Standard Rate Maintenance Grant thresholds and Student Contribution Grant thresholds by 15 per cent.
• Increasing the Postgraduate Fee Contribution threshold and the Student Part-Time Fee Scheme threshold to match the new 100 per cent Student Contribution threshold of €64,315.
• Ensuring that the first €5,000 of any scholarship/bursary received by a student will not be included as income in the grant means test.

Further measures include:

• €73 million to deliver the skills requirements of industry by investing in craft apprenticeship and developing new apprenticeships.
• €4 million to enable the transition to a single apprenticeship system including through essential development of IT and quality assurance.
• €5 million for measures to enhance the provision of supports for students with disabilities.
• €20 million for a skills package in employment-focused skills and training, with a particular focus on assisting small, medium and micro companies.
• €6m to deliver approximately 1,200 student accommodation beds for long-term leasing as part of the Technological University Student Accommodation Programme, 30% of which will be below market rates.
• €16.4 million to increase the number of places across veterinary, medicine and other healthcare disciplines.

“Budget 2025 marks a significant milestone for the entire Further Education, Higher Education and Research sector with an investment of almost €1.5 billion over the next six years.

“This Budget addresses the core funding gap in Higher Education raised as part of Funding the Future, pledging €50 million this year from the National Training Fund, and rising by a further €100 million by 2030. This is something the Higher Education sector has been crying out for, and Government has listened.

“Budget 2025 will deliver major infrastructure projects, provide learners with world-class equipment and facilities, and address the core funding challenges at the heart of Higher Education.

“This is the type of rolling investment and commitment the sector needs, and one that will deliver not just for students of today, but for learners of the future.

“This year we are also continuing our efforts to reduce the cost of education and ensure that a third-level education is accessible to everyone in society, no matter what their background is.

“That’s why I’m delighted that we have been able to increase standard rate maintenance and student contribution grant thresholds by 15 per cent, while also putting more funding towards student accommodation projects, increasing the Rent Tax Credit to €1,000 and delivering on our promise to increase PHD stipends to €25,000 per year.

“We are also aware that businesses are in desperate need of a skilled workforce today, so I am proud to announce €20 million has been released from the NTF for a skills package that will increase investment in employment focused skills and training assisting and enhancing competitiveness and productivity of businesses.

“Also, under this stream of funding is €5 million for meeting existing and future construction and green skills needs. This is significant in terms of meeting this Government’s ambitions to meet Housing for All and climate action targets.”

“This Budget marks yet another significant step forward in our goal of delivering for students, learners, and educators right across the country.

“I am also thrilled to see an investment of €77 million for the national apprenticeship system, representing the single largest core funding increase for apprenticeship since the formation of this Department.

“We expect the craft apprenticeship system to grow to 6,800 registrations in 2025 and this funding will go a long way to making sure that the skills requirements of industry, particularly the construction sector, are met, while also growing consortia-led apprenticeships, developing cross border apprenticeships, and delivering pathfinder initiatives that will enable the transition to a single national apprenticeship system.”