The rise will add to the Government’s financial woes as the grants scheme already costs €300m a year.

The jump in applications is largely due to the worsening jobs’ crisis, which is pushing thousands of additional families below the threshold set in order to qualify for grants.

Union of Students in Ireland president Peter Mannion said he was not surprised by the likelihood of a substantial rise in applications. The means-tested grants are based on last year’s income but, since then, many breadwinners have lost their jobs and USI hoped their changed economic circumstances would be taken into account in processing the applications.

The increase is also due to a small raise in the income limits for qualification.

To qualify for the full maintenance grant and registration fee, the income limit is going up from €39,760 to €41,110 where there are fewer than four children. However, for the first time this year, there is no corresponding increase for those qualifying for part maintenance - for instance, the eligibility limit for those qualifying for 75pc of the maintenance grant remains at €42,235, the Irish Independent has learned.

For those qualifying for 50pc maintenance it remains at €44,720 and at €47,205 for those qualifying for 25pc maintenance.

The actual value of the maintenance grants remain the same as last year, for the second year running - ranging from €855 to a maximum of €3,420 for students living away from home.

It has also been learned that the annual income threshold for the ‘top-up’ or Special Rate of Maintenance Grant is being increased from €20,147 to €22,308 in line with the relevant social welfare payments in order to ensure that students from families on the lowest incomes continue to qualify.

At present about 50,000 students are in receipt of student support of which about 13,000 qualify for the special ‘top-up’ grant which is worth €6,690 for a student living away from home.

John Walshe, Education Editor