I will start by thanking my colleagues on the Joint Committee on Business, Enterprise and Innovation for the invitation to present the Sale of Tickets (Sporting and Cultural Events) Bill 2017. I introduced the Bill in response to the public's ongoing frustration at ticket touting. Almost every time tickets for a match or concert go on sale, the media coverage is dominated by frustrated consumers who were unable to buy tickets when they went on sale and some who bought tickets at extortionate prices on secondary selling sites. Ticket touting is not a new issue; it has been around for years. In fact, former Deputy, Jimmy Deenihan, introduced the Prohibition of Ticket Touts Bill 2005. Unfortunately, that Bill failed to progress through Dáil Éireann during that session. Promoters and secondary selling sites have had ample time to sort out this issue voluntarily and they have failed to come up with an adequate solution. Measures such as those introduced by Ed Sheeran are very welcome, and I commend him on them. Unfortunately, due to the lack of legislation, other artists do not do this, so it is up to the Legislature to act. I see this as a consumer rights issue so I wanted to bring forward a solution to the problem. I am also aware that other Oireachtas colleagues, including Deputy Rock, who is present, and Deputy Donnelly, have brought forward their own Bills on this issue. This highlights the impact the lack of regulation is having on people right across the State. I have consistently said I am open and willing to work with other Oireachtas colleagues on this issue, and I hope the committee can facilitate that.
I will now briefly address the individual sections of the Bill. The Bill is relatively short. It consists of nine sections. Section 1 outlines the interpretation of numerous phrases, including a "designated event", meaning a sporting or cultural event for which more than 300 tickets have been offered for sale; "face value", meaning the original price of a ticket, including the full cost of the ticket plus any administration or other fees incurred in its purchase from the primary retailer; and "primary retailer" as a retailer responsible for selling tickets on behalf of, and at a price or prices agreed by, the event organiser or venue operator.
Section 2 of the Bill outlines the offence that is proposed to be introduced. This section states that it would be an offence to sell a ticket for a price greater than 10% above the face value of a ticket. This section also states that someone cannot sell a ticket of which they are not in possession. A person guilty of these offences would be liable, upon court conviction, to a fine of up to €5,000. I believe this sanction is proportionate and high enough to deter people from ticket touting.
Section 3 outlines the powers of An Garda Síochána. This includes arrest, confiscation and entry of premises for such reasons.
Section 4 outlines that at the end of a court process, where a person has been convicted of ticket touting under the proposed Act, if a member of An Garda Síochána believes this person has benefitted financially from the illegal activities, an order may be made for them to repay any proceeds of illegal ticket touting, as determined by the court.
Section 5 provides an exemption for registered charities from this legislation, as many charities use the sale of tickets for high-profile events as fundraisers for their particular causes, which should be maintained.
Section 6 of the Bill sets out how the legislation would affect Internet sites being used to sell tickets in contravention of this Bill. It states that if a member of An Garda Síochána or an event organiser is notified of the use of a site in breach of this proposed Act, the Internet site would have up to 24 hours to stop the provision of services to the person, that is, take down the advertisement. This section also sets out that the provider will engage with the Garda in respect of information it may have on the person who put up the tickets for sale. Refusal to do so would result in a similar financial penalty of €5,000.
Section 7 sets out that the Minister will engage with venue operators, event organisers and ticketing agents with the aim of establishing a voluntary code in respect of ticket refunds to consumers or an official ticket exchange facility for consumers or both. This would also allow consumers to return tickets to the primary seller for a refund, and the primary seller could then sell them on legitimately.
Section 8 sets out that expenses incurred by the Minister in the administration of this proposed Act shall be paid for out of moneys provided by the Oireachtas.
Finally, Section 9 sets out that if enacted, this Bill would be cited as the Sale of Tickets (Sporting and Cultural Events) Act 2017 and that it would come into operation one month from the date of its passing.
I will now briefly address some areas of contention that have been highlighted in respect of legislating in this area. Some will argue strongly that legislating in this area will just drive the issue underground. I do not believe this is a reason not to proceed. The Bill sets out limits to give consumers rights to reasonably priced tickets, and it is therefore up to consumers themselves to use those rights. Like everything else, some people will ignore the law and operate illegally but, for the vast majority of the population, I believe this will have a significant impact on this ongoing issue. It also sends a very strong message that ticket touting will not be tolerated. People have the right to reasonably priced tickets and can report ticket touts.
Another criticism is that people should be allowed to pay whatever price they wish for tickets and this should not be interfered with. I reject that assertion. The people most affected by extortionately priced tickets are often people on lower incomes who do not have the privilege to be able to pay any amount for a ticket and so end up being excluded from many cultural events. These people who miss out can turn out to be the most loyal fans. The issue identified by the Department on Second Stage as to whether a ticket is a licence or property, and the issues that could come from this, should be looked at. Perhaps the officials from the Department who will appear before the committee later will have an insight into this issue.
A similar argument is that people should be able to make a profit from tickets they no longer need. Unfortunately, the level of touting has escalated into an abuse of the ticketing system and must be addressed. People will still be able to make up to 10% on top of what they paid, which strikes the balance we need.
The Bill aims to give the Garda powers to arrest, search and confiscate in respect of tickets if they believe a breach of the law has taken or is taking place. It has been claimed that criminal gangs are benefitting from the lack of regulation in this area, so I believe these powers are both needed and proportional.
We note that the Bill does not address the so-called "bots", which can hoover up massive numbers of tickets. We could look at this and add to the Bill if this was found to be needed. However, if the Bill passes, fans will have a fair opportunity to buy tickets the first time around from primary sellers as touts and reselling sites will not be engaged in hoovering up all the tickets available as there will be no profit in reselling them. This could mean the "bot" system becomes less relevant. I will not say it would be gone, but it would be less relevant. Even the measures introduced by Ed Sheeran and his promoters come with some drawbacks. Due to the requirements of names being placed on these tickets, and ID being required to confirm this, people who received tickets as presents had problems getting into his concerts.
On Second Stage of the Bill, Deputy Niall Collins, who has since moved on to a different committee, mentioned the issue of GAA clubs selling tickets combined with a dinner ticket and how this could be separated. He also mentioned the fact that sports clubs sell tickets to fundraise. I would be happy to look at an amendment that could exempt recognised sporting bodies and clubs from the legislation in the same way as charities as such sporting bodies always have the benefit of their supporters and members in mind.
I am not citing this Bill as the answer to everything. We never did so. Rather, it is a starting point. With input from other members, I hope it can become legislation that will make a real difference to consumers. I thank the committee for its time. I would welcome any questions.
