Oireachtas Joint and Select Committees
Wednesday, 27 March 2013
Committee on Finance, Public Expenditure and Reform: Select Sub-Committee on Public Expenditure and Reform
National Lottery Bill 2012: Committee Stage
5:15 pm
Seán Fleming (Laois-Offaly, Fianna Fail)
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We depend on strong sales of lottery tickets to generate funds for good causes. The more that are sold, the more money we have for good causes. I worry. If the operator who gets the licence does not have the same impetus to sell tickets due to a need to tighten marketing budgets or some other rationalisation, the fall off in money for good causes could be a problem. The State relies on the hundreds of millions of euro that are generated. I was looking at the figures. The level of lottery ticket sales in Ireland is high relative to the United Kingdom. The average spend per individual here is much higher. It is higher than some other countries also, although I do not have to hand the international comparisons. The Minister will say that international companies have an incentive to make profits and that the more tickets they sell, the more money they will make. Many companies have that incentive but are not as good as others.
What will happen if we find in six years' time that the level of sales is falling off and the company does not put the same effort into marketing as it puts into its lottery marketing in Latin America where people love to play more than we do? Has the Minister any thoughts on what he can do to force the lottery operator to whom the licence is granted to perform to certain standards? This is like a public private partnership. The State is entering into a contract with an operator which will make a profit while providing money for good causes. It is the same as a public private partnership for a motorway or schools building project. What mechanism is being put in place?
I am sure the prospect of the organisation going bust or defaulting will be covered in the licence but how will the Minister deal with a situation in which it is not up to the mark and we fear we are losing out on money for good causes?