I propose to take Questions Nos. 1068 and 1069 together.
The Horse and Greyhound Racing Fund was established under the Horse and Greyhound Racing Act 2001 for the purpose of giving support to both racing industries. Under the provisions of the Act, the Fund receives a guaranteed level of finance based on excise duty on off-course betting in the preceding year, subject to a minimum level based on the year 2000 amount adjusted for inflation. Any shortfall in the amount generated by the excise duty is made up by direct Exchequer subvention.
In accordance with the Horse and Greyhound Racing Act 2001, 80% and 20% of the moneys paid into the Fund each year are distributed between Horse Racing Ireland (HRI) and Bord na gCon respectively.
The funding allocated to HRI and Bord na gCon from the Fund is not earmarked for specific purposes. Since 2001, income from the Fund has been used by both bodies towards increasing prize money levels, meeting administration and integrity costs alongside a programme of capital investment which has underpinned a growth in both sectors. Details of the projects which have been funded by HRI and Bord na gCon from the proceeds of the fund would be available from the agencies.
The rationale of the Fund was that horse and greyhound racing needed certainty in relation to its funding support on a multi-annual basis and that such funding to develop the industries should be derived from the duty generated from off-course betting. Prior to 2001 the Horse and Greyhound Racing Bodies were funded with annual grant-in-aid allocations as well as a fixed fee from off-course betting and 0.3% of turnover from off-course betting.
In 2004, the Government put in place regulations to increase the limit of the Horse and Greyhound Racing Fund from €254m to €550m to continue the Fund for a further four years to 2008. The current round of the Fund is due to expire at the end of 2008. A review of the Horse and Greyhound Racing Fund is currently underway. Any extension of the Fund will require the approval of the Government and the Oireachtas (the level of the Fund is increased by Regulations made by the Minister, with the consent of the Minister for Finance). The details of the Fund allocations from 2001 to date are as set out in the following tabular form.
Horse and Greyhound Racing Fund 2001-2008
Fund Year
|
2001
|
2002
|
2003
|
2004
|
2005
|
2006
|
2007
|
2008
|
Total
|
|
€m
|
€m
|
€m
|
€m
|
€m
|
€m
|
€m
|
€m
|
€m
|
Fund Income
|
58.89
|
68.06
|
64.19
|
66.91
|
68.35
|
70.06
|
73.11
|
76.29
|
545.86
|
Horse Racing
|
47.12
|
54.45
|
51.35
|
53.53
|
54.68
|
56.05
|
58.49
|
61.03
|
436.70
|
Greyhound Racing
|
11.77
|
13.61
|
12.84
|
13.38
|
13.67
|
14.01
|
14.62
|
15.26
|
109.16
|