Dáil Éireann Debate, Thursday - 1 October 2020
4. Deputy Gary Gannon asked the Minister for Media, Tourism, Arts, Culture, Sport and the Gaeltacht the details of the budgetary supports which will be committed to clubs (details supplied); and the other supports for the organisation to keep it functioning into 2021 and beyond. [28046/20]
View answerMy question pertains to the League of Ireland and it is very specific. What budgetary commitments will the Government be making to ensure that League of Ireland football clubs can sustain themselves into 2021 and beyond?
I am acutely aware of the difficulties and challenges facing all sporting organisations and clubs, including those in the League of Ireland. Measures introduced by the Government to date which have benefited the sports sector include the temporary wage subsidy scheme, TWSS, the PUP and a series of enterprise supports.
There has been extensive engagement with the sports sector over recent months which has highlighted the significant adverse impact of Covid-19 on all levels of the Irish sporting landscape. The Covid-19 sports management group, chaired at a ministerial level, has been established to engage directly which the sporting bodies. An expert group on the return to sport, chaired by an official of my Department, is also being established to provide advice and guidance to sporting bodies. Sport Ireland is also engaging directly which the sporting bodies on an ongoing basis.
A funding package of up to €70 million has been put in place to support the sector and the package will be administered by Sport Ireland. There will be funding of up to €40 million for the three main organisations: the FAI, to which the League of Ireland pertains, the GAA, and the IRFU. There will be a resilience fund of up to €10 million to support the national governing bodies of sport, as well as a sports club resilience fund and up to €15 million in support for clubs, and a sports restart and renewal fund. The funding will be invested through new grant schemes with Sport Ireland. The closing date for applications under the Covid-19 grant schemes was 14 September and a large number of applications were received. There are four strands of funding.
I know how valuable and important the League of Ireland is as a competition in our local communities. It plays a central part in the lives of many club supporters and we are lucky to have such a great league. In that regard, Sport Ireland is engaging directly with the national governing body and through the FAI on the allocation of Covid-19 funding for its affiliated clubs. In recent contact with the sports sector, we made clear that the financial and operational challenges associated with Covid-19 will continue into 2021. Any additional funding for sport in 2021 is subject to the budgetary process which is under way, but we want to see sport funded and supported. It is a key part of our community and that includes the League of Ireland.
I do not doubt for a second that we want sport to be funded and to continue in this country but the League of Ireland was in a precarious place long before the pandemic hit and it is now at a point where we do not know whether there will be a League of Ireland next season. I have spoken to Shelbourne and Bohemians, which are in my constituency, and to clubs throughout Dublin. They have told me that they have asked for a financial package of approximately €5 million which will keep them afloat into 2021 and ensure that they can keep their staff on so they do not need to avail of the pandemic unemployment payment, PUP. Every club has approximately ten staff members so a PUP for each employee would stretch into the millions if the payment is available for another year. The clubs are asking for €3.5 million to €5 million. Can we commit that amount to the League of Ireland to ensure it continues into 2021?
As I referenced, the stimulus package provides a significant amount of support for the FAI. The association, through Sport Ireland, will fund the League of Ireland and many other sporting competitions. The chief executive officer of the FAI, at a meeting of the Special Committee on Covid-19 Response, indicated that €3.5 million is required to stage the League of Ireland. Funding provided to the FAI by Sport Ireland is for the non-professional elements of the sport and is broadly aimed at encouraging and creating more opportunities for young people to participate in football.
I also referenced the €40 million package and the resilience fund of up to €10 million. We have a sports club resilience fund of more than €15 million. I will engage further with League of Ireland clubs through the FAI and with Sport Ireland. We cannot have a scenario where there is a question mark over our league. That also applies to many other leagues across the sporting landscape in the next year. Sport will have significant funding challenges in 2021 but it is an important part of our communities and we will have ongoing engagement with the sector about its funding. The financial packages that have been put in place and will be filtered out through Sport Ireland demonstrate that the Government has supported sport.
With the greatest of respect, I was also at the committee meeting to which the Minister of State referred. The FAI was quite clear that it has applied for a grant but there is no guarantee it will get it and allow that money to filter down to the League of Ireland.
This is a time sensitive matter. Most clubs would usually sell season tickets in December or January and if they are not sold, clubs will not be able to reopen their doors. People use clubs for a variety of reasons and some go to their clubs just to have a cup of tea and engage with their community. This needs urgency. I am asking specifically about the League of Ireland. We will talk about other sports on other days. I implore the Minister of State not only to commit to meeting and engaging with the League of Ireland but to funding that will give confidence to those clubs to start planning for 2021.
We will engage with League of Ireland clubs through the FAI and Sport Ireland. As I said, a significant funding package has been put in place which will be allocated and distributed over the month of October. That is €40 million for the three major sporting bodies. Decisions about how that money is specifically allocated by those sporting organisations is a matter for them but the Minister and I are keen to support the League of Ireland and ensure its continuity. We cannot have a scenario where there is a question mark over it.
There will obviously be funding challenges for all sports next year. We are engaging with the Minister for Public Expenditure and Reform around the whole sporting budget because the reduced numbers of participation are directly impacting the budgetary position of clubs across all sports that require ticket sales for their underlying finances. The League of Ireland is a key, grassroots league that is important for Irish soccer and I support it. We will ensure that there is certainty around it through the packages we have already announced and future packages.
