Tony McLoughlin (Sligo-North Leitrim, Fine Gael) | Oireachtas source

I welcome our guests this afternoon. I strongly agree that the music industry greatly contributes to the overall economy. I believe music and its many offshoots have a massive impact on tourism, in particular. Senator Ó Murchú would support me in saying the Fleadh Cheoil was an enormous success in promoting Irish culture and heritage and the Irish music tradition nationally and internationally. It has also been extremely beneficial to tourism in Sligo and the north west for the last two years. It brings huge numbers of visitors to Sligo town and the wider region. The Fleadh brought an estimated 400,000 in 2015 and over 350,000 in 2014. It is also estimated that in 2014, the music festival was worth almost €40 million to the local economy in Sligo and would have been closer to €50 million in 2015. Local hotels, restaurants, pubs, small businesses and the general public all benefited financially from the promotion of the festival. Many residents leased out their rooms.

While the rewards to the local economy were enormous, only €90,000 in specific Government funding was allocated to the Fleadh Cheoil in 2015. I am sure we will all agree that this was returned in full by the spending that took place over the duration of the event. There could be greater support offered, with a possible focus on promoting certain acts - for example, new and emerging artists. I am sure the witnesses would all support that.

The second example I want to discuss is the Sligo Live music festival. I see from the witnesses' report that IMRO is prominently involved in the sponsorship and promotion of music in Ireland, including Sligo Live. The festival has been running for the past 12 years and has grown into a major music festival in the north west. Only yesterday I met a delegation of the Sligo Live organisers, and I have with me the programme for this year's festival, which takes place from 21 to 26 October.

It is unfortunate that specific Government festival funding for Sligo Live was drastically reduced by 60% in 2015. For over a decade, the festival had always received in the region of €50,000. This year, that was reduced to €20,000. No festival can receive that large a grant cut and be expected to provide the same level of service. Both young and very well-established artists are playing the festival. This needs to be re-examined in the near future.

Fáilte Ireland's policy on the funding of music festivals seems to have changed this year. I will seek a meeting with Fáilte Ireland in that regard because the loss of a festival such as Sligo Live would have a major damaging effect on Sligo's tourism product. Sligo Live is more than a music festival in that it offers new artists the opportunity to grow and develop and it attracts music tourists to the region, which is only beginning to expand its tourism potential. It takes place in October when the tourism season is over and there are few festivals taking place elsewhere. It is unfortunate that this year the Sligo Live festival is in a very challenging position financially. I would be fully supportive of greater investment by the Government in the Irish music industry.

What percentage of IMRO funding is available for sponsorship of festivals around the country? How does IMRO undertake the allocation of funding? What is IMRO's stance on the funding of music festivals such as those I have listed? Does IMRO have a part to play in the development of the smaller music festivals throughout the country?