RTÉ will receive public funding this year but only if broadcaster sets out reforms

Additional funding for RTÉ will be addressed only when the broadcaster brings forward its new reform plan to the Government, the Minister for Public Expenditure Paschal Donohoe said on Tuesday night.

Mr Donohoe signalled at a post-budget press conference that the cash-strapped broadcaster, still reeling from the controversy over the hidden payments to its one-time highest earner Ryan Tubridy, would receive emergency funding before the end of the year.

“The responsibility is for them to lay out their views regarding the changes they believe are appropriate. It’s not up to me and I don’t even believe it’s up to the Government to lay out what is it we want RTÉ to do at this point,” he told reporters.

Mr Donohoe said the Government wanted to hear from RTÉ “regarding their views around the kind of changes that are justified given the events of earlier on in the year”.

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“This is really serious. There are many people working in RTÉ, the vast majority of people didn’t have anything to do with all of this. I think it would be disrespectful of me, to the work and the people who are involved in making it happen for me to start speculating publicly about what I want to see,” he said.

“I am sure by the end of the year the Government will respond back regarding our assessment of their financial need and our views then regarding their reforms.”

A supplementary budget will be required to address financial issues inside RTÉ at that stage.

“So there will be a supplementary estimate brought forward later on in the year that will deal with the commitment that the Government has already made with regard to the Commission on the Future of Media,” he said.

“The only reason it’s not in the budget is that that these are matters likely to take place in 2023, and in the budget we are dealing with matters for 2024.″

He said he expected the RTÉ plan would be received by Minister for the Arts Catherine Martin in a number of weeks, “at that point we will make a further decision as to whether further funding is required”. There was no mention of the broadcaster in budget speeches by either Mr Donohoe or Minister for Finance Michael McGrath.

RTÉ had sought €34.5 million in the budget before its hidden payments scandal led to a decline in licence fee sales and renewals that is estimated to cost the organisation a further €21 million this year.

Separately, the Irish screen industry has welcomed an increase in the cap for qualifying expenditure under the Section 481 tax credit for film and television from €70 million to €125 million, saying it will attract bigger-budget productions and boost employment.

Screen Ireland, the State development agency for the Irish film, television and animation industry, said the higher ceiling on the expenditure that qualifies for the 32 per cent corporation tax credit would create opportunities in growing areas such as visual effects (VFX) and post-production.

“In a landscape where global film and TV production budgets have reached an all-time high, the increase in the eligible expenditure cap will allow Ireland to attract a wider range of high-quality, larger-scale production,” said Screen Ireland chairwoman Susan Bergin.

Screen Producers Ireland, which represents production companies, also hailed the increase in the cap, describing it as a “real sign of confidence, and support for, the Irish film and television production sector”.

The higher expenditure cap will allow production companies to better compete internationally to bring bigger-budget international productions to the State, it added.

“This will have the positive effect of increasing the potential amount of investment into the sector, growing high-value employment in the sector, improve overall economic benefit to the economy and supports Government’s ambition to double employment in the screen sector by 2028,” said Susan Kirby, chief executive of Screen Producers Ireland.

Audiovisual Ireland, the Ibec representative group for the screen industry, said it “applauded” the decision.

“This enhancement will not only bolster Ireland’s cultural and economic fabric but also amplify the impact of the exceptional works of Irish creative talents on a global stage while helping to achieve the Government’s Audiovisual Action Plan objective of doubling employment in the sector,” said Torlach Denihan, the group’s director.

Figures from the Revenue Commissioners show that payments of €127.3 million were made to producers under Section 481 in 2022. The limitations posed by the €70 million cap have long been a bugbear for Irish industry participants, however.