Martin Heydon (Kildare South, Fine Gael) | Oireachtas source

I am delighted to have the opportunity to speak on this important Bill, which has seen a significant amount of work. As Deputy Doyle pointed out, it is the first time that the Oireachtas Joint Committee on Agriculture, Food and the Marine, of which I am a member, has been able to carry out pre-legislative scrutiny, a new process that Government has brought in, which allowed us to examine thoroughly with the relevant stakeholders in the sector the impact of a change in legislation, and will hopefully allow us run the Bill through the House with greater buy-in and a better understand of everyone involved.

As a Deputy representing Kildare South, I have always been an advocate for the horse racing and breeding sector, not only because I like horses and going to the races but also because I know so many employed in the sector in my constituency and who employ others in the sector also. This economic activity, which was worth €1.1 billion to the Irish economy in 2012, happens in rural parts of Ireland where there is little other economic activity. Of the 18,000 employed in the sector, 4,000 are in Kildare alone. Those are 4,000 real jobs and pay packets that help drive the local economy, never mind the positive image Kildare enjoys as the thoroughbred county.

This Bill comes after a lengthy period of review of all aspects of the horse racing sector. It started with the Minister's commissioning of a review of the sector by Indecon, and the Department facilitated a stakeholder consultation as part of that review, which included written submissions from interested parties. The Department then drafted the Bill and it came before us in the Oireachtas joint committee for the pre-legislative scrutiny. The process was a really good exercise during which we invited in all of the key stakeholders. Discussions took place over a number of months, and the officials in the Department of Agriculture, Food and the Marine paid close attention to what was said and some of the concerns that were raised. It is a good way for us to do business in the House.

This Bill looks to strengthen governance and transparency within the administration of horse racing. It also clarifies the functions of Horse Racing Ireland, HRI, and the racing regulatory body, the Turf Club, as well as streamlining certain administrative functions. It extends the definition of integrity services to allow the racing regulatory body to ensure that horses are run fairly and properly without being limited to on-course activities, which is a key change.

Representation on the board of HRI is set to change also, with ministerial representation increasing from one to three members, including a representative of Northern Ireland. The racing regulatory authority will have three representatives. Other representatives on the board will include one from the race courses, one from the horse breeders, one from the horse trainers and one from the owners, who are important because they contribute so much to the sector.

Two board members will be from the industry service committee. I am delighted that one of these will be a dedicated representative of the Irish Stable Staff Association following the recommendation from the Oireachtas joint committee. The stable staff are the lifeblood of the sector, working seven days a week and all hours of the day to care for and prepare the horses. Without these skilled workers, the excellent horsemen and women who work in yards all over the country, we would not be world leaders in this game. This additional seat is a recognition of the position of the thousands who work in the yards the length and breadth of this country, and I thank the Minister for taking on board our request to ensure that they are adequately represented on the board of HRI.

There will also be a representative from the betting committee, which is important. The relationship between the bookmaker and the racing sector has been fraught at times. Having representation on the board from the whole betting industry is crucial. There are synergies that could be beneficial to racing from working more closely with the betting industry. This move definitely achieves one of the aims of the Bill, which is to improve communication throughout the sector. The fact that the media rights, which are so coveted and which are crucial to the funding model, are largely paid for by the betting sector is proof of the importance of a working relationship between both sides.

Streamlining and the achievement of efficiencies should be an ongoing job in any State or private entity that has access to taxpayers' funds. In this instance, the streamlining must also take cognisance of the need to not undermine integrity functions. I therefore welcome the assurances that the Minister has given with regard to both the integrity services carried out by the racing regulatory body and the commitment to maintain and protect the strong point-to-point activity.

The Turf Club is, in effect, a private club, the voluntary members of which contribute significantly to the running of the sector and safeguard and protect the rules of racing. We can never take this integrity for granted. The Turf Club, in exercising those functions, receives some taxpayers' funding, and the provisions in the Bill are very much about protecting the interests of taxpayers and ensuring that there is full openness and transparency.

The HRI, as a semi-state body, is answerable to the Committee of Public Accounts and other State watchdog bodies. This Bill improves the transparency and accountability where public funds are involved while also looking to protect the ability of the racing regulatory body to carry out its functions without its integrity being impinged. That is a fine balance that we must get right for the good of the overall sector. In that regard, I am quite happy that sections 11 and 12 put the Turf Club on a stronger footing in many regards. Section 11, regarding the rules of racing, points out that the Turf Club is solely and independently responsible for making and enforcing the rules of racing, provides on-course integrity services, licenses racecourses and participants in horse racing, sets charges for licences and is responsible for decision-making regarding handicapping and doping, all of which are important matters. Let us be honest and admit that integrity is something we take for granted when the sector is doing as well as it is, but all we ever need is for something to go wrong and then everyone will look and ask where the integrity is. Much consideration has been given to this. The Turf Club has appeared before the Oireachtas joint committee and has made representations. It is really important that, as the Bill moves through the House, we keep strongly in the forefront of our minds that no step here will impinge on that in any way. I am happy that this Bill goes a long way towards that while also protecting and representing the best interests of the taxpayer.

I will touch on the redevelopment of the Curragh, which is not directly linked with this Bill. In my constituency, the announcement a couple of weeks ago of a €65 million redevelopment of the Curragh underpins the confidence regained in the sector after a tough recession, but also Government's commitment to the sector, because it takes funding and confidence to make that happen. The fact that we now have a partnership between the HRI, as a semi-state body, and the Turf Club, which had to move a long way in sharing its ownership of the Curragh racecourse, along with private benefactors, shows what can be achieved in a public-private partnership, if you like, of a different type. I was struck that at the launch the private investors' representative singled out, as the Minister who was present will be aware, the confidence as a result of the investment by the Government over the past couple of years. Although the increases that we have managed to secure in the horse and greyhound fund in the past couple of years were important, there has also been a sense that the Government is taking it seriously - not merely making a token effort, but recognising that this is a sector that employs 18,000 people the length and breadth of the country. It is economic activity, and the Government is serious about protecting the horse racing and breeding sectors. That is why we saw that private investment come into the Curragh.

In terms of the future funding model for the sector, something that came up quite a bit in the discussions at the Oireachtas joint committee is the level of frustration. Down through the years, the horse racing sector never wanted to be in a position in which it was dependent on the taxpayer. However, it is aware that at times of recession such as we have come through, the cheap throwaway comments from the Opposition benches to the effect that it is grand to fund the racing authority but we could open another hospital ward instead, are populist and effective soundbites.

However, it misses the fact that the sport is not just a flutter on our part, but is an investment in an industry that creates jobs. We would like to return to a point where we have multi-annual funding and the racing industry can stand alone, as it did before.

While I welcome the Minister for Finance, Deputy Noonan's move during recent years to extend betting to the remote and offline, more can be done. It does not come under the Minister's remit but is more a matter for the Department of Finance. A 1% rate of duty on betting is low. We wanted to get the online system bedded in to see how it went. I hope whoever is in charge of the purse strings for the next budget will seek to grow it and increase the slice of the cake that comes in from betting revenue and thus get racing back to a position where it is not dependent on a handout from the Government, which can fluctuate each year, and can plan with a multi-annual approach. I welcome the work by the Minister, Deputy Coveney, and the Minister for Finance, Deputy Noonan, in giving a commitment for the next couple of years of funding and sticking to it, which allows them to plan accordingly.

I know the Minister's commitment to the industry. He and his officials have done extensive work on bringing this body of work through since before the Indecon report to date. I look forward to further detailed debate as it reaches Committee Stage, and I look forward to the strengthening and growth of our racing and breeding industry, which is a source of pride to all Irish people.

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