‘An omnishambles’: Further RTÉ bombshell rocks political system

The plot thickens.

Yesterday evening, rumours began to swirl in political circles that the RTÉ board was in conclave, dealing with an issue that could be of such magnitude that resignations may potentially follow. Sure enough, news broke last night that there is not just one so-called “barter account”. There are, in fact, three.

To be specific, these include the Astus account – used for the top-up payments to Ryan Tubridy – and the Active and Miroma accounts.

Given it was less than a week ago that RTÉ’s chief financial officer Richard Collins told the Public Accounts Committee that there was only one such account, the disclosures sent shockwaves through the world of politics last night and this morning.

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This whole scandal has its origins in the fact that the Government, Oireachtas and public were not told the full extent of payments to Tubridy, the star presenter. The fact that more undisclosed financial details are now emerging – and in a drip, drip fashion – is viewed by politicians as being very serious and very damaging to the State broadcaster. After news of the hitherto-unknown barter accounts began to filter out last night, some politicians privately labelled the developments as being “explosive”, or in the words of one Coalition figure, “an omnishambles”.

Jack Horgan-Jones stayed up all night analysing the new information and documentation here. He reveals that RTÉ has disclosed that the barter accounts have been used to fund €1.6 million on client entertainment and corporate hospitality over the last 10 years.

In a note sent to the Oireachtas Media Committee late on Tuesday evening, the broadcaster defended its use of the accounts – ones linked to a system through which a media company uses its advertising space to pay for certain goods and services – including for hospitality.

“This is entirely legitimate,” RTÉ wrote. “Moreover, this model is commonly used by competitors and is standard industry wide.”

Senior RTÉ executives will appear before the Oireachtas Committee on Media today and they will be asked: why are these barter accounts only becoming public knowledge now? Why were politicians told last week there was only one? Where is the rest of the documentation around spending within those accounts?

There is also a lot of talk about spending in relation to the Toy Show: The Musical project, which by all accounts sounds like a commercial flop, so expect to hear more revelations here.

In our lead story today, Pat Leahy and Jack Horgan-Jones outline how RTÉ has been plunged into deeper crisis following the news.

For RTÉ right now, the stakes couldn’t be higher.

There is a feeling that every new revelation further erodes the hard-won trust between the broadcaster and the public. At today’s Oireachtas Media Committee hearing, due to take place at 1.30pm, politicians will want RTÉ to put all their cards on the table. Any obfuscation will be met with outright scorn and could have significant long-term consequences. It won’t be enough for station chiefs to pledge to co-operate with the many reviews already announced into governance and finance, the political system will demand full clarity today.

And it’s not as if yesterday wasn’t already a difficult day for the organisation. There were further developments in the Dáil, when Sinn Féin TD Imelda Munster claimed that RTÉ brought a group of about 70 people to the K Club for golf, dinner and a drinks reception, paid for through a barter account, when it reportedly considering the future of Lyric FM.

Meanwhile, Miriam Lord provides a colourful account of the Dáil debate into the saga, writing that rarely have TDs been so eager to get stuck in. “Lesser spotted deputies, those mute swans of parliamentary discourse, sashayed into the chamber and spouted with relish,” she writes.

This story will develop by the hour, so keep a close eye on irishtimes.com, and if you haven’t already, turn your notifications on for push alerts.

Shock, horror! But RTÉ is not quite the only show in town

If the two finance ministers were hoping for a quiet summer recess after the announcement of a somewhat cautious Summer Economic Statement, they can think again.

In his analysis today, Pat Leahy writes that the Budget 2024 package will be along the same lines as last year with spending of €6.4 billion promised, incorporating a tax reduction element of €1.1 billion.

“The tax component will be just about enough to cover a medium-sized bag of upward adjustments to the credits and bands – but nothing like the big tax giveaway for middle Ireland that Fine Gaelers were dreaming about not so long ago,” Leahy writes.

Yet everyone knows that €6.4 billion is the baseline, not the endgame.

The next big budget battle will be around the package of one-off measures that will be announced on the day of Budget 2024 in October.

These are measures such as extra welfare payments and lump sums, child benefit, and energy credits. It amounted to €4 billion last year. Something similar could happen this year. Leahy writes that while Paschal Donohoe and Michael McGrath fought a fierce rearguard action to limit the tax package and the spending increases, the budget will be bolstered by these one-off measures.

If you’re wondering what the August news agenda will look like (beyond RTÉ) just imagine what a TD’s pre-election “one-off” wishlist might look like, and go from there.

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Playbook

Dáil Éireann

There’s a busy day ahead in the Dáil chamber, which is no surprise given there are only five sitting days left until the summer recess.

Topical Issues are up at 9.12am, and this will be followed by Private Members’ Business where the Independent Group will table a motion on the Nature Restoration Law.

Leaders’ Questions will be taken at noon and this will be followed by questions on policy.

There are a large number of Bills up for consideration today including the Criminal Justice Bill, the Windfall Gains in the Energy Sector Bill, the Safe Access Zones Bill, and the Mother and Baby Institutions Payment Scheme Bill among others.

Taoiseach Leo Varadkar will take questions at 1.10pm. The full schedule can be found here.

Seanad

Commencement Matters will be taken at 10.30am, followed by the Order of Business an hour later.

At 1pm, the Criminal Justice (Miscellaneous Provisions) Bill 2022 is up. This legislation proposes to increase the sentence for conspiracy to murder to life imprisonment and amend firearms legislation.

Private Members’ Business is up at 2pm, with the Seanad Electoral (University Members) (Amendment) Bill 2020. This Bill would extend the franchise of the university panel of Seanad Éireann to all people who are over 18 and are holders of an appropriate third-level qualification from an Irish institute of higher education. It is put forward by Fianna Fáil Senators Malcolm Byrne, Shane Cassells and Pat Casey.

An interesting one is up at 5pm with the Broadcasting (Restriction of Salaries) Bill 2023 brought by Senators Rónán Mullen and Sharon Keogan. This proposal would seek to cap RTÉ salaries at €195,000.

The Seanad adjourns at 6.30pm.

Read the full and more detailed schedule here.

Committees

At 9.30am, the Joint Committee on Health will meet with the Irish Dental Association to discuss their recent strategic work force plan.

At 10am, the Joint Committee on European Union Affairs will discuss the Spanish presidency of the European Council with Ion De La Riva, Spain’s ambassador to Ireland.

At 1.30pm, the Joint Committee on Finance, Public Expenditure and Reform will hold a session on defective block redress with witnesses from the Banking and Insurance Focus Group.

Also at 1.30pm, the Joint Committee on Arts, Sport and Media will meet with senior RTÉ executives to discuss the recent scandal engulfing the national broadcaster, as mentioned above.

At 5.30pm, the Joint Committee on Agriculture, Food and the Marine will discuss Ireland’s water quality with the European Commission.

Read the full schedule here.