"Yes we got it wrong," the admission this afternoon from the Education Minister Ruairi Quinn on the establishment of a centralised system for the payment of third-level grants last year.

SUSI, or Student Universal Support Ireland, was marred by months of delays in issuing grants.

Ther delays resulted in thousands of students getting food boxes from student unions across the country, in a desperate attempt to get by.

Minister Quinn said there was a lack of understanding of the task involved when City of Dublin VEC got the contract.

He told the Dáil: "They made, out of the three, the most convincing bid.

"Did we get it wrong? Yes, we got it wrong, collectively. Are we fixing it? I think we are. Have I looked at what happened internally in the department? Yes I have and I've given you the analysis of what was given to me and I've no reason to second-guess that.

"I think we've got it right now, but I am not taking my eye off the ball this year."