State will not have to pick up Rugby World Cup tab, says Ross

Minister for Sport defends legislation, saying €200m will only be on line if no tickets sold

Viewed over 400,000 times online, Brian O'Driscoll, Bernard Brogan, Phillip Matthews and Paul O'Connell go viral as they showcase some of Ireland's most famous sporting venues as part of the Rugby World Cup 2023 bid. Video: IRFU

The Government does not expect to have to fulfil its guarantee to underwrite the hosting of the 2023 Rugby World Cup should Ireland be successful.

Minister for Sport Shane Ross told the Dáil the tournament was projected to receive “substantial sums” and expected to have 450,000 high-spending visitors.

The legislation was passed without a vote after being rushed through the Dáil in just over three hours late on Wednesday night. It will now go to the Seanad.

When Sinn Féin spokeswoman on sport Imelda Munster said the Minister was writing a “blank cheque” Mr Ross acknowledged “it’s a very big figure but the likelihood of the cheque being cashed is very unlikely. On past records we should make a profit”.

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Mr Ross said the State will take out insurance in case the tournament were cancelled.

But Green Party leader Eamon Ryan expressed concern that the way the Government had gone about the legislation would not be fair to the public.

And his amendment to the Rugby World Cup 2023 Bill for the television viewing to be “free to air” for spectators was supported by virtually all parties and Independent TDs. It was later ruled out of order, however, as it could impose a charge on the exchequer.

Mr Ryan said “the only detail you get is that there is going to be a €800 million spend”. He said members of the team who were behind the bid should come into the Oireachtas next week and answer questions. “I can see no reason why they would not do that. Or do they have something to hide?”

“We’re taking all the risk” paying €138 million and guaranteeing a further €200 million, Mr Ryan added. “What risk are the rugby world cup people taking?

“What are the GAA getting from this? How much are the IRFU going to get? I have no problem with the IRFU getting money to put back into the game,” he said, but they should know how much the IRFU was going to make.

Responding, Mr Ross said “we’re not on the line for €200 million unless we sell no tickets”.

Mr Ryan asked if all the profits were going to an offshore company in the Isle of Man, adding that it should be possible to say how much it would cost.

But Mr Ross rounded on the Green Party leader and said he was seeking commercially sensitive information. It would “sabotage” Ireland’s bit if he answered, because there were two other countries, - South Africa and France - also still in the running.

The Bill allows the Minister for Sport to support the bid and the hosting of the World Cup in 2023.

Mr Ross said it was one of the largest global sporting event after the Olympics and the soccer World Cup.

He defended the short notice for the legislation and said that the original advice was that no legislation would be needed, but it subsequently emerged that “for avoidance of doubt, express statutory authority is required, which means the Bill has to become law before July 31st”.

He said hosting the World Cup would provide communities across the State with an opportunity to host teams such as Tonga, Georgia, New Zealand and Japan.

The Government is providing an underwrite that the tournament would still proceed even if ticket revenues were not sufficient. It would only come into effect if the tournament company did not have enough revenue to meet the costs.

Second piece of legislation

Mr Ross said it was the most “energising” Bill he had introduced in the Dáil, but Fianna Fáil sports spokesman Robert Troy pointed out it was only his second piece of legislation.

Mr Troy said the World Cup was a major world event and a “fantastic opportunity to show off Ireland”.

He said the only regrettable thing was that it was coming at the 11th hour.

He said “we should have a plan to recover any public money that is invested”.

Independent TD Tommy Broughan said the World Cup needs to have very tight financial controls.

Independent Kerry TD Michael Healy-Rae criticised Mr Ryan’s questioning of the process but he supported his amendment on free-to-air TV viewing.

Mr Healy-Rae said the estimated revenue is €800 million-€2 billion, which he said would pay for a lot of cataract operations. The ticket prices should be kept affordable, warning that any ticket touting to inflate prices should be dealt with before it became an issue.

Marie O'Halloran

Marie O'Halloran

Marie O'Halloran is Parliamentary Correspondent of The Irish Times