Statement by Minister for Tourism, Culture, Arts, Gaeltacht, Sport and Media Friday 25 August 2023

Dia dhaoibh um thráthnóna agus go raibh maith agaibh as teacht inniu.

(Good afternoon. I want to thank you for coming here today.)

The revelations regarding corporate governance failures within RTÉ have been deeply troubling, and have rightly given rise to much public debate and anger.

Since these issues first emerged on 22nd June last, my focus has been threefold.

Firstly, to ensure that the full facts are made known to Government, to the Oireachtas and importantly to the Irish public.

Secondly, that in understanding the full extent of how RTÉ conducted its affairs, we chart a path towards ensuring that the highest standards of governance are adhered to, and that a culture of public service is embedded within RTÉ at all levels.

And thirdly, that we do not lose sight of the important role of public service media for our society, and the dedication shown by the many journalists, presenters, and support staff within RTÉ in carrying out this vital public service.

To support RTÉ in bringing about the necessary reforms, I commissioned two independent expert review committees. These have both commenced their deliberations and last week I appointed Crowe Advisory Ireland to support their work.

The findings and recommendations of the two committees will guide Government in setting out the path to ensuring that RTÉ operates to the standards which we rightly expect.

In addition to the reviews, I appointed Mazars as forensic accountants to carry out an examination of the barter accounts. Earlier today I received an interim report from Mazars which I am now publishing. This report again highlights inadequate internal controls and processes within RTÉ.

The interim report highlights that there was a lack of an approved policy on the use of the barter account and that where purchases were made through the barter media agencies, these were not subject to normal procurement processes or no monthly budgeting reporting. There were no thresholds on the value of purchases, and the list of people who could authorise purchases was also not adequately controlled.

This further evidence of a lack of proper policy, process and control is unacceptable and further underlines the need to bring about real and meaningful change in the wider governance and organisational culture of RTÉ.

The report details the level of revenues and expenditure which were processed through the barter account. Of the €7.4m in advertising revenue which was generated, a total of €1.2m was used to purchase goods and services, but without sufficient controls and reporting.

I am re-assured by the Director General that the first steps have been made to ensure proper controls are put in place. However, I will be passing the report to the independent expert advisory committee on governance and culture for their consideration as part of their ongoing examinations.

The work of the forensic accountants will continue over the coming weeks and I expect to receive a final report in relation to the barter accounts in October, which will examine all relevant transactions.

The public reaction to revelations about payments, barter accounts and lax internal controls has ultimately found expression in the numbers of people who have decided not to purchase a TV licence. Government understands the frustration and anger which people feel, however, this is damaging public service broadcasting for us all.

I again emphasise the importance of paying for a TV licence to continue to support the access to impartial news and current affairs, the provision of drama and light entertainment, broadcasting of sporting events, and access to cultural, educational and factual content.

Re-establishing confidence in RTÉ is not just about words, but deeds.

Earlier today I met with the RTÉ Chair and Director General. I reiterated my expectation for total cooperation and proactive engagement with all ongoing reviews.

While there are questions yet to be answered, including by way of response to the Oireachtas Committees, we now need to turn the page and move our focus to rebuilding the organisation. There is a real opportunity now for really impactful change in RTÉ and we need to collectively seize this opportunity.

I welcome the commitments to reform that I have been given, and which the Director General has set out over the past number of weeks.

These commitments will need to be backed up by delivery, but a good start has been made. The Board and Director General must be supported in bringing about real and meaningful change.

There has been much comment on the need to provide interim funding to RTÉ, and I have asked NewERA to assess this need. This assessment will inform our consideration of interim funding for RTÉ as part of the Budget negotiations in the coming weeks, and will be linked to reforms. NewEra is also currently completing an assessment of the RTÉ's 2022 Annual Report and Accounts.

This Government is committed to establishing a sustainable funding model for public service media during our term in office. This remains our goal. I will continue engaging with senior Cabinet colleagues with a view to Government agreeing a longer term funding solution early next year.

My priority is now on working towards a reformed, fit-for-purpose RTÉ that we can all be proud of as our national public service broadcaster, and a sustainable funding model which supports public service media content for us all.

What is important now is solutions. The work of the independent examinations I have commissioned, the continuing work of the forensic accountant and the reforms taking place within RTÉ will all contribute to achieving these much needed solutions and point a sustainable and robust way forward.

Táim cinnte, leis an obair seo, go bhféadfaimis craoltóir seirbhíse poiblí atá laidir, freagrach agus inbhuanaithe, a chinntiú don todhchaí. Creidim go mór in RTÉ, agus táim cinnte go bhfuil an bealach chun cinn níos soileire anois.

Go raibh maith agaibh

(I am sure, with this work ongoing, that we can secure for the future a public service broadcaster that is robust, responsible and sustainable. I believe strongly in RTÉ, and I am certain that the way forward is a lot clearer now. Thank you.)