Dáil Éireann Debate, Thursday - 5 March 2009
148 Deputy Michael Creed asked the Minister for Arts, Sport and Tourism If he has concluded his review of the Horse and Greyhound Racing Fund; the level of funding that has been available to the horse and greyhound sector from this fund for each of the past five years; the number of jobs that are sustained in this sector; and if he will make a statement on the matter. [9362/09]
Amharc ar fhreagraGovernment support for the horse and greyhound racing industries is provided under the Horse and Greyhound Racing Fund, which was established under the Horse and Greyhound Racing Act, 2001.
Under the provisions of the Act, the Fund has, from 2001 to 2008, received a guaranteed level of finance each year. This was 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 was made up by direct Exchequer subvention. 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. By the end of 2008 a total of €545.8m was paid out of the Fund. The remaining balance in the Fund at the start of 2009 was €4.2m. €69.6m has been allocated to the Fund for 2009.
The rationale of the Fund is that the horse and greyhound racing industries need certainty in relation to their funding support on a multi-annual basis and that the mechanism for such certainty 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 0.3% of turnover and a fixed fee from off-course betting.
Funding of both of these agencies supports two very important productive industries and helps to sustain the important role of horse and greyhound breeding & training enterprises in the development of the rural economy. These industries, together, account for an estimated 27,500 direct jobs, generate very substantial economic activity and make a vital contribution to the rural economy including farm incomes. The funding given to the greyhound racing sector helps in sustaining a tradition that has existed for hundreds of years and in underpinning the economic activity in what are in many instances less affluent regions of the country.
This funding has allowed Ireland to develop into a world centre of excellence for horseracing. Horse Racing Ireland has undertaken a capital investment programme that has underpinned growth in the sector.
The Fund has also contributed significantly to the almost €90 million that has been invested in the improved facilities now available at greyhound tracks around Ireland. A review of the Fund is nearing completion and will be submitted to the Government in due course in the context of deciding on the future funding of these industries. Any extension of the Fund will require the approval of the Government and the Oireachtas. The following table details the level of funding that has been available to the horse and greyhound sector from this Fund for each of the past eight years.
|
Fund Year |
2004 |
2005 |
2006 |
2007 |
2008 |
|
Fund Income |
66,914,000 |
68,350,000 |
70,059,000 |
73,111,000 |
76,285,800 |
|
HRI |
53,531,200 |
54,680,000 |
56,047,000 |
58,539,000 |
61,028,800 |
|
BNG |
13,382,800 |
13,670,000 |
14,012,000 |
14,572,000 |
15,257,000 |
