Written answers

Thursday, 18 April 2013

Department of Public Expenditure and Reform

National Lottery Licence Sale

Photo of Tommy BroughanTommy Broughan (Dublin North East, Labour)
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To ask the Minister for Public Expenditure and Reform if he will provide an update on his plans to sell off the National Lottery licence; if he will outline his timetable for when the legislation will be passed and when he estimates that the sell off will take place; and if he will make a statement on the matter. [17738/13]

Photo of Brendan HowlinBrendan 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. 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.

The National Lottery Bill was published in December 2012. The Bill was debated at Second Stage in the Dáil on 29th January, 5th February and 6th February 2013. It passed Committee Stage on 27th March 2013 and Report and Final Stages on 17th April 2013. It is expected that the Bill will be enacted in May of this year, subject to its successful passage through the Seanad.

The preliminary phase of the competitive process is expected to commence in the next few days. However, the full and formal process will not commence until after the Bill is enacted. The process is likely to run until August or September 2013, at which stage a preferred bidder will be chosen. It is anticipated that receipt of the upfront payment will materialise in the fourth quarter of this year. It is expected that the new 20 year licence will commence in 2014, subject to transitional arrangements.

Photo of Seán FlemingSeán Fleming (Laois-Offaly, Fianna Fail)
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To ask the Minister for Public Expenditure and Reform the mechanism he is putting in place to ringfence part of the proceeds of the sale of the National Lottery licence for major capital projects; and if he will make a statement on the matter. [17844/13]

Photo of Brendan HowlinBrendan Howlin (Wexford, Labour)
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As the Deputy is aware, this issue was discussed in depth during the debates in the Dáil on the National Lottery Bill 2012. At Committee Stage, I gave a formal commitment that when the competition for the next National Lottery licence is concluded and the Exchequer is in receipt of the upfront payment, which will be payable by the successful bidder, I will revert to the Committee in relation to the arrangements for the upfront payment.

As I have stated on numerous occasions, it is intended that part of the upfront payment will be used to help build the National Children’s Hospital. I am committed to ring-fencing the sum involved for that purpose.

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