Howlin asked to explain €552,000 lotto regulator spend

The Government has been called on to explain why it is spending €552,000 on a new lottery regulator.

Fianna Fáil's Sean Fleming today claimed Minister for Public Expenditure Brendan Howlin was refusing to publish a breakdown of what the money was being spent on.

“At the latest committee hearing on the spending estimates, Minister Howlin gave a commitment that a breakdown of the €552,000 spending for the new lottery regulator would be made public,” Mr Fleming said.

“However last week the Government forced through a vote on the spending of all government departments while the information remains a secret,”he said.

As part of the State's lottery privatisation, the Government last year overhauled the existing legislation governing the operation of the National Lottery, which dated from a pre-internet era.

The new legislation provides, for the first time, for a lottery regulator to oversee the operation of the licence and the performance of the operator.

The department said, however, this evening the €552,000 figure related to the “once-off” costs associated with staffing, rent, IT, office furniture and other start-up costs.

A spokeswoman also insisted details of the spending related to the regulator’s office would be furnished to the Oireachtas via the normal procedures.

She said the regulator would be funded by an annual levy on the operator of the next licence.

“The decision to detach the regulatory function from the department has been vindicated by the successful conclusion of the licencing process which will yield €405 million to the State, in addition to additional monies for good causes, and which will support a series of job rich projects and contribute to the building of the new national children’s hospital.”

“The levy will be payable by the National Lottery operator from the time the new licence comes into effect. It is envisaged that the licence, which is currently being finalised, will come into effect before the end of 2014.”

“Therefore, the exchequer will not need to meet any costs associated with the regulator’s office in future years.”

She said the issue had been subject to a full debate as the legislation passed through the Houses last year.

Mr Howlin has hinted the regulator may eventually be tasked with overseeing the State’s entire gaming and gambling industry.