Seán Fleming (Laois-Offaly, Fianna Fail) | Oireachtas source

I welcome the opportunity to speak on the National Lottery Bill 2012 as I had looked forward to doing, based on everything this Minister and other Ministers had stated and on what was contained in the programme for Government, namely, that part of the funding from the proceeds of the sale of the lottery licence would go towards funding the national children's hospital. This is what was stated:

The programme for Government pledges to protect health capital investment. This review delivers on that commitment and in particular includes funding for the development of the new National Children's Hospital. Reflecting the importance of this project, a large up-front payment arising from the new National Lottery licence will complement Exchequer funding.

This is a clear reference to linking the sale of the licence to the national children's hospital. On 4 April last year, after more than a year in government, the Minister, Deputy Howlin, stated in the House: "The longer-term licence offered an opportunity to generate funds that will benefit community and provide essential services through providing significant funds towards the construction of the national children's hospital". I commend that and agree with every word the Minister said in that statement. On 4 July he stated: "The new licence will also involve an up-front payment to the State with some of the payment being used to help fund the building of the proposed national children's hospital". I could not agree more with the Minister.

The Minister for Health, Deputy Reilly, who is responsible for the national children's hospital, stated the Government's intention was to seek a large up-front payment to the State as part of the arrangements for the new licence, with some of the payment to be used to help fund the building of the proposed new national children's hospital. Again, I could not agree more. During question time on 21 November the Minister, Deputy Howlin, and I discussed this matter. I asked what would happen the proceeds from this sale that would come through during 2013, given there was a new decision on the location of the hospital site and that it would be some time before most of the expenditure for building the hospital would be required. I asked whether the process would be ring-fenced to ensure the funds were available when building began. I also asked whether the fund would be managed by the NTMA or if it would be used to fund other capital infrastructure projects, with the Minister reimbursing the money in 2018 when it would be required. I did not say whether I was for or against the latter case but if it happened the Minister would essentially be using the proceeds of the sale of the national lottery licence to fund capital investment over the coming years. However, in 2017-18, when the bulk of that money would be required for the building of the children's hospital, the Minister would have to fund such building from current expenditure. The Minister, Deputy Howlin, must clarify this point before the legislation is passed and state whether the link between the sale of the lottery licence and the hospital funding will be broken. I wish to ensure the maintenance of this link.

Although people may have a problem with the selling of the national lottery licence, if it is explained to them that the money obtained is intended for the national children's hospital most will be happy to accept that concept. I challenge those who are opposed to selling State assets to oppose the notion of raising money for the children's hospital. I am happy with it, as I stated in the Chamber on 21 November. In reply that day, the Minister, Deputy Howlin, noted that I was assuming the Government would receive a substantial fund the following year and stated that he was exploring whether to put it into an escrow account intended in particular for the national children's hospital or whether it would be more prudent to act as I had suggested. He observed that it was important to have a robust funding mechanism in place, stating:

I am minded to ringfence the money as Deputy Fleming has indicated I might do. I am minded to do that and have asked the Secretary General of my Department to explore options in this regard.

I completely commend that. It was the object of my question. I asked it again last week but the Minister was not present and we did not go into it in much detail.

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