FF says Russborough wouldn’t have tax ‘difficulty’ if in Limerick

Claims that trust would have tax relief if based in Minister for Finance’s constituency

Fianna Fáil has claimed that the Russborough House trust would have been granted full tax relief for its art works if the historic house was based in the Limerick constituency of the Minister for Finance.

Michael Noonan rejected a request from the Alfred Beit Foundation for 100 per cent tax relief on works of art purchased for donation to the State. The Minister, in a letter to Minister for Arts Heather Humphreys said the current 80 per cent tax relief was already very generous.

But Fianna Fáil arts spokesman Seán Ó Fearghaíl said “I suspect that if Russborough House was located in Limerick we wouldn’t be having the particular difficulty that we have in this instance”.

He also claimed during Dáil question time today that the Government “is quite prepared to allow the Beit foundation to effectively cannibalise itself in order to sustain the House into the future”.

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Paintings from the Beit collection at Russborough House in Co Wicklow, including two works by Rubens were due to be auctioned by Christie’s in London in June but the sale was delayed to consider proposals from private Irish buyers.

The foundation had hoped that better tax incentives would encourage people to buy works of art from its collection.

Ms Humphreys said the trust deferred the proposed sale of paintings until late this year but “it has indicated publicly that the foundation continues to require a significant endowment to secure its future. This may entail selling paintings to put this in place unless donors become available.

She stressed however: “I’ve made it clear that my Department does not have the resources to provide for such a fund.”

Mr Ó Fearghaíl suggested the foundation required an endowment of €15 million to be able to continue successfully operate Russborough House.

He said the trust also made it clear that the 80 per cent tax relief was not adequate to attract the level of investment needed to secure the future of the art held at Russborough House.

The Co Kildare TD said there could be sufficient conditionality to any relief at 100 per cent that would guarantee that the entire benefit of that relief accrued to the Irish people.

Ms Humphreys said the Minister had informed her that providing 100 per cent tax relief “would have the exact same impact on the exchequer finances as if the State were to purchase the item outright”.

Mr Ó Fearghaíl said “something in excess of one million visitors since 1978” was not “inordinately high” and he believed that “if properly packaged and more effectively marketed by being given the resources of the State...that this venue might be far more attractive.

“It mightn’t be Downton Abbey but it certainly has an enormous potential to attract tourists into the area.”

Ms Humphreys said the house was an independent trust but her department would give them all the support it could.

A meeting last week between the trustees and the inter-departmental steering group established by the Minister discussed the development of marketing opportunities in the context of Ireland’s Ancient East tourism project.

“There are opportunities are there to increase numbers and we will give them all the support. The OPW are very good at running historic houses they have a lot of expertise in that area,” Ms Humphreys said.

Marie O'Halloran

Marie O'Halloran

Marie O'Halloran is Parliamentary Correspondent of The Irish Times