O’Connor: Sport needs private sector investment

The Federation of Irish Sport has called on sporting organisations to seek private sector investment in the wake of continued cuts to Government funding.

With State investment down almost 30% since 2008, the head of the federation has appealed to Irish sporting bodies to diversify their income sources in reducing dependence on Government monies.

In the federation’s annual review published today, chief executive Sarah O’Connor says the Government must also follow through on a commitment to establish a relief scheme to stimulate private sector investment in sport.

Government funding has served as the life blood of Irish sport for the past three decades but O’Connor insists other financial avenues must now be exploited.

“Irish sport does recognise that all sporting organisations need to diversify their income sources and we would therefore renew our call to the Government commitment to examine the putting in place of a relief to incentivise private sector investment in current sporting projects, to mirror the relief already in place for donations by private individuals or entities to capital sporting projects or indeed charitable and arts projects,” said O’Connor.

“Without continued investment in sport from both public and private sources, much of the progress made in Irish sport could easily become undone. The reality in sport being that the money spent today has a significant impact on the future shape of sport, both in terms of participation rates and international success. The contrary is also true. Fail to invest now, and we will live to regret it in the future.”

In their first annual review published back in 2009, the federation pleaded with Government to maintain funding levels to sport. That plea has gone unheard as overall investment has shrunk 27.1% in the past five years.

“Like all sectors of the economy, the last five years have been challenging for Irish sport, with real pressure on all sources of funding, whether it is membership subscriptions, sponsorship, broadcasting revenue, ticket sales and of course, the Government funding.

“We are a sports-mad country but there is a tendency to think of sport in terms of the sporting activity itself and not the multiple dividends returned to our society as a result of that activity. The federation believes that because of these ancillary benefits, that Irish sport has a key role to play in the rebuilding of our economy.”

The Department of Transport, Tourism & Sport recently announced its intention to commence work on a masterplan for Irish sport, a move first mooted by the federation in 2012.

“We continue to live in difficult times, however, just as sport has been one of the things to sustain us over the last number of years, the putting in place of a well-developed masterplan should ensure that sport plays a key role in building a better future for Ireland and its people.”

O’Connor also advocates rolling all elements of sport, particularly the areas of Government policy on areas such as health, tourism and children, under the one department umbrella.