Exchequer top-ups ‘not a reward’ for RTÉ mismanagement, Bakhurst says

ireland
Exchequer Top-Ups ‘Not A Reward’ For Rté Mismanagement, Bakhurst Says
The Government has agreed a €725 million financing programme for the crisis-hit national broadcaster over the next three years. Photo: PA
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By Cillian Sherlock, PA

Hundreds of millions of euro in guaranteed funding for RTÉ is not “a reward” for bad management, according to the station’s chief.

The Government has agreed a €725 million financing programme for the crisis-hit national broadcaster over the next three years, coming from Exchequer-funded top-ups to licence fee sales.

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Under the plan, after expected levels of licence fee sales are accounted for, the Government predicts it will directly provide the organisation with €42 million next year.

 

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It follows a year of crisis management at the national broadcaster over a series of governance and financial scandals which further fuelled a years-long trend in declining TV licence revenue.

The Government decision has been criticised by rival commercial broadcaster Virgin Media Television as a “reward for inefficiency and all-round bad practice”.

RTÉ director-general Kevin Bakhurst rejected the comments on Thursday, saying: “I don’t see it at all as rewarding a series of mistakes that RTÉ made.

“It’s long been the case that RTÉ's funding has not been sufficient to deliver what our public service remit is.”

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Mr Bakhurst, who acknowledged it had been a difficult 13 months for RTÉ, said new procedures had been put in place to make sure past mistakes “do not happen again”.

He told RTÉ’s Morning Ireland that the funding was a reward for dealing with previous bad practice and setting out a new strategy.

“If you believe in public service broadcasting and media, it needs to be funded,” he said.

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The RTE sign in Donnybrook
The RTE sign in Donnybrook (Liam McBurney/PA)

“I’ m actually very grateful to the Government, they could have ducked this decision entirely.”

RTÉ has set out a five-year reform strategy but the Government’s new funding road map only covers three years.

It is to receive €225 million next year which will rise to €240 million in 2026 and €260 million in 2027.

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Mr Bakhurst said he expects funding after that to remain around the higher 2027 levels.

“I think the assumption is that becomes the new level we’re operating at.”

Asked about whether the new funding plan meant that RTÉ no longer had to be concerned about licence fee evasion, Mr Bakhurst said the organisation has a “moral responsibility” to demonstrate to the public that it is worth paying for.

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