Dáil debates

Thursday, 26 January 2017

3:35 pm

Photo of Richard Boyd BarrettRichard Boyd Barrett (Dún Laoghaire, People Before Profit Alliance)
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As the Minister, Deputy Mitchell O'Connor, is aware, Ardmore Studios is synonymous with the Irish film industry. It is, in effect, the birthplace of the Irish film industry as an industry. Since it opened in 1958, it has propelled Irish film making into the top flight of film making in the world.

4 o’clock

It has played host to some of the greatest actors in the world - Richard Burton, Fred Astaire, Mel Gibson and Ralph Fiennes. Some amazing films have been produced at Ardmore, winning a total of 14 Oscars and numerous BAFTAs, Emmys, Golden Globes, etc.

From the point of view of the local area, Ardmore Studios are critical. They are responsible for 500 direct jobs and thousands of indirect jobs. I understand that 500 people attended a public meeting in Bray last night -unfortunately, I could not be present because the House was debating the Stardust tragedy - at which it was stated that the studios are responsible for up to 8,000 or 9,000 indirect jobs. The Minister will be aware, not only from the Wicklow and Bray area, that there are many tradespeople, creative individuals and those merely who only appear in productions as extras who are constantly working in Ardmore. Any threat or possibility that Ardmore Studios might cease to operate would simply be unacceptable. It would be the destruction of a central part of our film heritage and culture and, obviously, a massive economic blow to a large number of people and to a wide catchment area.

I talked to some of the trade unionists involved, who welcomed the fact the Minister had engaged with them. What everybody wants to hear is that there will be a commitment that, one way or another, Ardmore Studios will be kept as a going concern and that whatever is necessary will be done to ensure that happens. Under no circumstances should we allow a situation whereby Ardmore might be bought by property speculators or whatever. The facility should be maintained. We should use initiatives at local level to ensure that the whole complex is zoned for film production only. The Government should also step in and take whatever action is necessary. Enterprise Ireland already has an obligation to ensure that the jobs and the industry are retained. Whatever other initiatives are necessary should be taken.

A point made by the workers who spoke to me earlier is that in so far as subsidies are given to domestic film production companies, there is an absence of the obligations on such companies to use facilities such as Ardmore. If this were done, it might ensure that there is joined-up thinking across the film sector.

A proposal of which the Minister will be aware is that relating to a possible buy-out by the workers. I am of the view that this would be the optimum solution, particularly as it would involve those with all the fantastic skills necessary for film production. Everybody I talk to in the film sector states that the technical skill level at Ardmore is second to none. A workers' buy-out, facilitated by the Government, would be another solution.

I hope the Minister can give us words of comfort to the effect that Ardmore Studios will be retained in order that they might play a critical role in Ireland's film industry.

3:45 pm

Photo of Mary Mitchell O'ConnorMary Mitchell O'Connor (Dún Laoghaire, Fine Gael)
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I thank the Deputy for raising this matter.

I am conscious of the anxiety that the uncertainty around the sale of Ardmore Studios creates for the workers concerned, as well as for the local community. Ardmore Studios is a commercial entity, owned 68.33% by private interests and 31.67% by the State. The State's shareholding is managed by Enterprise Ireland. Enterprise Ireland inherited the stake from NADCORP, the former State investment agency, in 1986. As a passive investor, Enterprise Ireland has no enterprise development role in Ardmore or any involvement in its day-to-day operations. Furthermore, while Enterprise Ireland offers supports to exporting companies involved in film and the creative sector, policy responsibility for the development of the film industry rests with my colleague the Minister for Arts, Heritage, Regional, Rural and Gaeltacht Affairs, Deputy Humphreys.

The sale of the Ardmore Studios is a commercial decision by the majority owners of the studios. The facility is being placed on the market for sale as a going concern. Enterprise Ireland has not placed any pre-conditions on the pending sale of Ardmore Studios due to the existence of planning restrictions on the site, which safeguard its use as a film-making facility into the future. Wicklow County Council has confirmed this and it agrees to maintain the film-only zoning as a matter of policy. Enterprise Ireland's primary concern will be to maintain the business as a going concern, as well as ensuring the best economic and financial return for the State. Enterprise Ireland will make its decision in consultation with me and I, in turn, will consult the Minister for Arts, Heritage, Regional, Rural and Gaeltacht Affairs.

I assure the Deputy that both I and the Minister, Deputy Heather Humphreys, will do whatever we feel is best to support Ardmore continuing as a strong commercial proposition and a key piece of infrastructure for the development of the film industry in Ireland, not only to safeguard employment but to enhance employment prospects in the film sector.

Photo of Richard Boyd BarrettRichard Boyd Barrett (Dún Laoghaire, People Before Profit Alliance)
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At many levels, I welcome what the Minister says, but there are a few details I would like to hear to be more assured. First, there should be absolutely no consideration of the Government selling its stake in Ardmore. Critical to maintaining it is for the Government to retain that stake.

The zoning itself is not sufficient protection because the facility could be bought, somebody could sit on it for a couple of years and if it is left derelict, the zoning could be changed further down the line. What we need now is intervention of a level sufficient to ensure that it continues as a working studio, whether that is a viable film-making concern taking over the private share that is being sold by Mr. Ossie Kilkenny and Mr. Paul McGuinness, facilitating a workers' buy-out as has been suggested or even full-scale nationalisation if that is necessary in order to sustain the facility.

I would not want to put a figure on the facility's overall value but it was suggested at yesterday's meeting that the economic impact in one year of that studio - working at full capacity and in full production - is three or four times' the amount for which it might be sold. The value to the local area and the economy in terms of employment is several multiples of what we might have to pay for it if we decided to nationalise it, if that is necessary. What we need is a commitment that no option will be considered that will lead to its closure and that whatever action is necessary to ensure its survival will be taken by the Government.

Photo of Mary Mitchell O'ConnorMary Mitchell O'Connor (Dún Laoghaire, Fine Gael)
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I have had three meetings: one with the workers and the unions; one with Oireachtas Members; and another with Oireachtas Members and the chief executive of and officials from Wicklow County Council.

I hear the Deputy talking about nationalising. In fairness, Enterprise Ireland is not a film production company. It is not a Disney. It will never be able to make films such as those to which the Deputy referred and which won Oscars. That is not Enterprise Ireland's area of expertise. Its expertise lies in ensuring the very best outcome.

Photo of Richard Boyd BarrettRichard Boyd Barrett (Dún Laoghaire, People Before Profit Alliance)
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The workers have the expertise.

3:55 pm

Photo of Mary Mitchell O'ConnorMary Mitchell O'Connor (Dún Laoghaire, Fine Gael)
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Yes, absolutely, and not Enterprise Ireland. However, the workers-----

Photo of Richard Boyd BarrettRichard Boyd Barrett (Dún Laoghaire, People Before Profit Alliance)
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I am not asking for Enterprise Ireland.

Photo of Mary Mitchell O'ConnorMary Mitchell O'Connor (Dún Laoghaire, Fine Gael)
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May I finish? We had the meeting with Wicklow County Council and all of those people were in attendance. Bryan Doyle, the chief executive of Wicklow County Council, wrote to me. He welcomed my recognition of the importance of Ardmore Studios to County Wicklow and the mid-east region and my acknowledgement that the development of the film industry is a key pillar of the action plan for jobs for the region. That is what Enterprise Ireland is good at. He went on to point out that the audio-visual industry is one of the primary objectives set out in that action plan and that Wicklow is the lead authority in this action area. He said that the local enterprise office, LEO, in Wicklow, together with four other LEOs in the south east, has initiated the south-eastern creative corridor project aimed at creating a vibrant, viable and growing cluster in the region.

I emphasised at the meeting that the intention is that the studios be sold as a going concern - I have been saying that repeatedly - and that the final decision would be taken with me and the Minister for Arts, Heritage, Regional, Rural and Gaeltacht Affairs. All of the county councillors and the chief executive gave me a strong commitment that the zoning would not change. The Deputy was a county councillor so he knows about zoning. If the county councillors continue to be influenced by the local people and local representatives, the zoning will never change. Enterprise Ireland and I want it sold as a going concern. We are not in the business of film production and do not have that expertise, but we have the expertise to ensure we develop the action plan for film production in the area.