No compensation for FAI over broadcast deal, says Minister

The Minister for Communications, Mr Ahern, has ruled out any compensation for the FAI due to the cancellation of its exclusive…

The Minister for Communications, Mr Ahern, has ruled out any compensation for the FAI due to the cancellation of its exclusive arrangement with BSkyB to broadcast live soccer internationals.

With new legislation compelling the FAI to offer Irish international games to RTÉ, the organisation is understood to be claiming that its revenues from the deal will fall to €5.5 million from €7.5 million. This reflects the removal of the "exclusivity" clause in the contract, which clears the way for RTÉ to make an agreement to broadcast the matches.

The FAI has indicated that it will ask the Government to make up the shortfall in revenue, because it was Government action that led to the cancellation of the contract.

The association is expected to meet next week with the Minister for Sport, Mr O'Donoghue, in pursuit of its compensation claim. While Mr O'Donoghue is believed likely to highlight the tightening in the public finances in the discussion, his spokesman would not comment when asked if he would compensate the FAI.

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Mr Ahern's spokesman went further. He said: "The Minister is adamant that no taxpayers' money will be paid over to the FAI on foot of the ending of the Sky contract." The FAI already receives about €1.5 million from the State every year.

The request for compensation comes as the Government considers options for a new national stadium.

The FAI has said it could make an annual profit of €2 million from use of such a stadium, which is the equivalent of the compensation it is seeking.

With the FAI and the IRFU set to provide €118.5 million for the development, Lansdowne Road has emerged as the favourite.

Use of that venue would require State funding of €353 million over six years with the cost of other options ranging up to €397 million.