Michael Creed (Cork North West, Fine Gael) | Oireachtas source

The horse and greyhound racing industries occupy a key position in the Irish sporting and social landscape and we as a nation have a strong affinity not just with racing but with the social scene at its core.

These industries receive financial support from the State through the horse and greyhound racing fund, under section 12 of the Horse and Greyhound Racing Act 2001. The Department of Agriculture, Food and the Marine makes payments from the fund to Horse Racing Ireland and to Bord na gCon.

In the period 2001 to date, a total of €1.12 billion has been paid from the fund to the horse and greyhound racing industries in accordance with the provisions of the Act. The cumulative upper limit on payments from the fund, provided under the relevant regulations, has therefore been reached. Exchequer funding provided from the fund is pivotal to the survival and continued development of the horse and greyhound racing industries.In order to give effect to the provisions of budget 2018, this cumulative upper limit must be increased by regulation. In order to allow my Department to provide the moneys allocated in budget 2018, it is necessary to comply with the technical requirement under section 12(13) of the Horse and Greyhound Racing Act to increase the cumulative limit on the amount payable from the horse and greyhound racing fund by €80 million to some €1.2 billion.

The recent Deloitte report commissioned by Horse Racing Ireland indicates that the total direct and stimulated expenditure of the Irish breeding and racing industry is estimated at €1.84 billion in 2016. The core industry comprised €914 million of this, with secondary expenditure the remaining €927 million. In addition, it is estimated that there are 15,200 jobs at the core of the racing and breeding industry or in directly related industries.

The achievements of Irish bred and Irish trained horses abroad, and the enduring influence of Irish born jockeys and stable staff, underscore Ireland's global prominence. We hold the distinguished position of being the third highest producer of foals, coupled with having the third highest number of active broodmares in the world. Government funding is crucial in order to maintain and build on our position as one of the world's leading breeding and racing nations. Government funding of this key industry is an excellent opportunity to yield a high return for its investment, leading to a flow of income right through the economy . Support for certain strategic industries is important for future economic growth and can provide widespread benefits for our society as well as for our economy.

The greyhound industry is a significant industry for Ireland. It has been embedded in Irish society for decades and is an important activity from an economic, social and cultural perspective. It provides and supports considerable employment directly and indirectly across the country. The Irish greyhound sector has come through challenging times during the economic recession, but it continues to make a significant economic and financial contribution to the Irish economy, particularly at a local level. The Bord na gCon annual reports indicate that despite a severe recession the industry is recovering, showing an increase in operating surplus in 2015 and again in 2016.

Funds generated from greyhound racing are re-invested in the industry through contributions to prize money and grants to various bodies involved in the greyhound racing and breeding sector, as well as the promotion of greyhound welfare and the regulation of the industry. It has also contributed significantly to the improved facilities now available at greyhound tracks around Ireland. Greyhound racing is an activity which is inextricably linked to the farming community, and while it is undoubtedly part of the fabric of rural Ireland it also enjoys a strong urban base.

The Horse Racing Ireland Act 2016 introduced a range of improvements in governance and accountability arrangements, many of which derive from recommendations made by Indecon Economic Consultants following their review of the sector. It was also commissioned to conduct a review of certain matters relating to Bord na gCon in order to assess the suitability of the legal, governance and regulatory framework supporting the greyhound industry and to identify opportunities to maximise its commercial income.

In response to the recommendations made in the Indecon and Morris reports and the report prepared by the Joint Committee on Agriculture, Food and the Marine, I have introduced a draft general scheme of the greyhound industry Bill. The Bill addresses the governance of Bord na gCon, strengthens regulatory controls in the industry, modernises sanctions and improves integrity with a view to building a reputation for exceptional regulation in the sector.

As the House is aware, the draft general scheme of the Bill has progressed through the pre-legislative scrutiny phase and it is hoped that a memorandum will go to Government in the coming weeks requesting approval to publish the updated general scheme and to submit it to the Office of Parliamentary Counsel for drafting. The Bill will bolster the Irish greyhound industry, enable it

to deal with existing challenges and maximise its future potential.

I am sure we are all in agreement that more balanced regional economic growth is desirable and this is a key priority for Government. In this context, these industries should be given recognition for the considerable contribution that they make to rural economic activity and employment. The important contribution made by the horse and greyhound racing fund since its inception in 2001 has been vital to ensuring that these industries can continue to invest in their infrastructure.

Section 12(13) of the Horse and Greyhound Racing Act 2001 provides that a draft of these regulations be laid before both Houses of the Oireachtas and a resolution approving the draft be passed by each House before the regulations are made by the Minister. Accordingly, I am asking Members for their support to ensure that Horse Racing Ireland and Bord na gCon receive the funding provided for in budget 2018 and that the very important role played by these industries, and the economic activity generated by them, are sustained into the future. I commend the regulation to the House and I look forward to discussing any matter arising.