Andrew Doyle (Wicklow, Fine Gael) | Oireachtas source

Bord na gCon is a commercial State body, established in 1958 under the Greyhound Industry Act 1958 chiefly to control greyhound racing and to improve and develop the greyhound industry. Bord na gCon  has faced very difficult financial challenges in recent years and continues to operate in a difficult financial environment. Through the period of the recession, a significant reduction in commercial income from attendances at stadia, tote receipts and other sources coincided with a reduction in State funding for the sector.  The impact of theses pressures has been  exacerbated by a significant debt burden. The Government has worked to restore State funding to its previous levels, but the challenges of reducing the debt and increasing commercial incomes remain significant. These matters  have been of significant concern for my Department for some time and it was against this background that Indecon Economic Consultants were asked to conduct an objective assessment of the board's activities. Indecon made a number of recommendations to improve the financial position of the board, including measures to reduce costs at loss making tracks, the development of new co-mingling and fixed odds betting opportunities and the development of television rights and other commercial opportunities at stadia. While all of these recommendations are important, Indecon also recommended that the board actively engage in a programme of asset disposals in order to reduce the debt in a meaningful way and in this regard referred to a number of specific assets, including Harold's Cross greyhound racing stadium.

Bord na gCon has been working its way through the Indecon recommendations, but progress on the development of commercial income has been difficult. In particular, a significant burden of debt remains and inhibits the scope for investment in the sector.  Against this background, the board took the difficult decision in February to close Harold's Cross to prepare it for sale, in part because of its very close proximity to the Shelbourne Park stadium.  I understand that on 2 May the board received an offer from the Department of Education and Skills for the purchase of Harold's Cross stadium for the construction of a school or schools and has decided to accept it subject to obtaining the necessary approvals. To respond to one of the Deputy's questions directly, the Minister, Deputy Creed, and I expect to receive a proposal for the sale of the stadium from the board shortly and will give it due consideration it, taking into account the need to develop the sector.

Additional information not given on the floor of the House

There is no doubt that the sector faces a number of significant challenges. It is widely acknowledged that there is a need for improvements in finance, governance and regulation. The Government has restored the Exchequer provision for the sector in recent years and brought forward the heads of a Bill to improve governance, strengthen regulatory controls, modernise sanctions and improve integrity with a view to building a reputation for exceptional regulation in the sector. This is a sector that can make a significant contribution to the rural and urban economy and which enjoys widespread support from many sincere and passionate participants around the country.  If it is to reach its potential, it is essential that it develops a solid financial platform, reduces its debt and builds a reputation for regulatory best practice and integrity.

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