Nicky McFadden (Longford-Westmeath, Fine Gael)
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To ask the Minister for Public Expenditure and Reform if he will consider ring-fencing a special National Lottery draw with a view to raising funds for the National Children's Hospital; and if he will make a statement on the matter. [9157/13]

Brendan Howlin (Wexford, Labour)
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As the Deputy is aware, I announced in April 2012 that there will be a competition for the next National Lottery licence. It is intended that the competition will involve an upfront payment by the operator of the next licence to the State, a portion of which will be used to help build the new National Children’s Hospital. It is envisaged that the competition will commence later this year. A National Lottery Bill was published in December 2012 and is currently before the Dáil. The proposal to provide for a special weekly National Lottery draw, the proceeds of which would be set aside to help fund the building of the new National Children’s Hospital, was one of a number of issues raised in a private members' motion which was debated in the Seanad on 13 February 2013. Central to the success of the National Lottery since its establishment in 1986 has been the provision of ongoing Lottery funding for good causes. They are categorized as follows in section 5 of the National Lottery Act 1986:

- sport and other recreation

- national culture (including the Irish language)

- the arts

- the health of the community

- youth

- welfare

- national heritage

- amenities

It is intended that the next licence will continue to provide for the ongoing provision of a significant level of funding for good causes each year. The National Lottery Bill provides that the categories of good causes will remain as they are at present. While the motivation for the proposal referred to in the Question is well-intentioned, it is likely that such a draw would simply see players switching their usual spend on lottery products to one that would be dedicated to assist funding the Hospital. In addition, there would be uncertainty around the scale and timing of likely revenues that would emerge. Essentially, the provision for a special National Lottery draw to raise funds for the building of the new Hospital would result in less funding for the existing categories of good causes. Consequently, less money would be available for the type of local and community-based projects which are so closely associated with the success of the National Lottery over the years.

The decision to provide for an upfront payment under the next licence was made after careful consideration of the various options. Unlike the proposal to provide for a special draw, the Government’s approach will ensure that the raising of funds to allow the State to proceed with the building of the Hospital will not be at the expense of good causes. The Government is seeking to maximise the benefit of the Irish National Lottery Licence so that maximum benefits can accrue to Irish citizens both through a sizeable upfront payment that can help fund the National Children’s Hospital and through strong growth in revenue for good causes.