Aodhán Ó Ríordáin (Dublin North Central, Labour) | Oireachtas source

I appreciate the opportunity to speak on this issue. I wish to address two main issues. Many Members have already discussed the dangers of online gambling and that the social interaction in the bookie's shop in the main street would be replaced by a more private engagement online which, as Deputies Spring, Seán Kenny and others have already said, is particularly dangerous and worrisome.

However, I wish to concentrate on where the money raised through levies on betting ends up. Anybody who takes a cursory glance at the horse and greyhound racing fund and the Horse and Greyhound Racing Act that underpins that fund will probably be surprised at the mechanisms behind it. Most people would be unaware that the levy from every bet laid on anything, including soccer, rugby and the GAA, goes directly into the horse and greyhound racing fund even though only 10% of bets placed in Ireland are on horse or greyhound racing, which is remarkable. When I discovered this a number of years ago, it struck me that this must be the most cosseted industry in the State in terms of public funding. No other sporting organisation gets this type of support; it is unbelievable. If the majority of people began to realise this they might believe we should re-evaluate this funding mechanism. Can it be justified in the new age? Can it be justified when we have such social unease, social problems such as childhood obesity, problems such as hunger among schoolchildren, anti-social behaviour and children being dragged into various different courses in their lives that are destructive?

The 2001 Act introduced by the former Minister, Mr. Charlie McCreevy, still rules the roost in this House and levies from all bets placed in the country go to that fund. Two years ago the fund was worth €57 million and on average the Irish Sports Council gets about half that from the State each year. I would be horrified if this new online betting levy were to go anywhere near the fund. I understand that many Deputies across the House will fundamentally disagree with me on this point. Many Deputies, including some from my party, feel very strongly about the horse racing industry and what it adds to the economy. I have heard figures of €900 million mentioned for the horse racing industry and €500 million for the greyhound racing industry. I am willing to accept those figures, and the employment and tourism that come therefrom. However, we cannot let this lie without re-evaluating it.

On drilling deeper into the figures we discover that approximately 80% of the money from the horse and greyhound racing fund goes to the horse racing industry. The vast bulk of that is spent on prize money, which is much more lucrative in Ireland than elsewhere in Europe. I am led to believe - I am open to contradiction on this - that five named individuals are the main beneficiaries of that prize money and their tax status is open to plenty of controversy every year.

I strongly welcome that we are regulating the industry, placing a levy on it and bring it out from the darkened bedrooms of people and into the light by focusing attention on it. If the State is to benefit from a levy on it, we need to be open and transparent as to where that money will be spent. In view of all the social ills that are caused by gambling and other excessive behaviour in society, if we are to continue to funnel such a level of levy receipts from the existing betting arrangements to the horse and greyhound racing fund, we need to have a more honest and open debate on it. We need to have an honest and open debate on sports funding and what it is for. Is it for participation of children? Is it for the betterment of society? Is it for connectivity? Is it for health and exercise? Alternatively is it for this industry? Perhaps we have not had a sufficiently open discussion on that.

I welcome the Bill which is justified in its purpose. However, I would have a deep distrust of the types of individuals and companies behind this. There is a difference between a person having to go into a bookie's shop where one must engage socially and doing it in one's own bedroom. Doing it behind a computer screen using credit cards and not engaging with anyone is very dangerous and worrying, as Deputy Spring has already said.

The connectivity between the levy we will receive from this and the expenditure on the other side is key to this. Like everything in Irish society and public policy, people have more belief in the taxation system and the society in which they live if they can see the connectivity between the charges they pay, including the levies placed on things and the services they get as a result. We need to be much more open and honest about the horse and greyhound racing fund, the Horse and Greyhound Racing Act that underpins it and the type of sports funding that is available. We need to have discussions with every other sporting organisation in the country as to what they need. We should not be afraid of talking honestly and truthfully to those powerful individuals in the horse and greyhound industry who may have a different point of view.

I welcome the Bill, but it needs to represent the beginning of a discussion as to where our levies go, how we support sport and leisure, and with whom we are willing to talk tough.

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