Patrick Costello (Dublin South Central, Green Party)
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265. To ask the Minister for Finance the legal basis under which the hypothecation of the betting tax for the Horse and Greyhound Fund, as is stated in Section 12 (4) of the Horse and Greyhound Act 2001, was ended in 2009 (details supplied). [22717/23]

Michael McGrath (Cork South Central, Fianna Fail)
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Under the provisions of the Horse and Greyhound Racing Act 2001, from 2001-2008 the Horse and Greyhound Racing Fund received a guaranteed level of funding each year, which was based on betting duty receipts from the preceding year, subject to a minimum level based on the year 2000 amount, adjusted for inflation.

In 2009, given the economic climate at the time, the funding basis was changed in the context of departmental savings. A policy change was made whereby the annual payment to the Fund was no longer to be automatically calculated by reference to the previous year’s betting duty. This policy change was outlined in the Budget 2009 “Summary of Budget Measures”, and the procedure as a result has changed. However, there has been no amendment to section 12 of the Horse and Greyhound Racing Act 2001.

The current position therefore is that betting receipts accrue to the Exchequer and the amount allocated to the Horse and Greyhound Racing Fund is decided as part of the annual estimates process, overseen by the Minister for Public Expenditure, NDP Delivery and Reform and the Minister for Agriculture, Food and the Marine. Any increase of the Fund limit requires the approval of the Government and the Oireachtas. The level of the Fund is increased by regulations made by the Minister for Agriculture.