Finance Minister McGrath has said that he is opposed to the Government fully funding RTÉ as it would require an “awful lot of money” during budget negotiations.
As he stressed that the current TV licence fee system will be in place for the rest of 2024, he stated that the idea of a “broadband levy” would not be a “fair” alternative.
The Government has committed to reforming how RTÉ and other media are funded by the end of this year.
Splits are growing within the coalition as Media Minister Catherine Martin stated that she is in favour of direct Exchequer funding. Tánaiste Micheál Martin has repeatedly stated that he does not want direct funding to replace the TV licence.
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The Government also rejected the proposal when it was suggested by the Future of Media Commission in 2022.
Speaking today, Minister McGrath said that he was also against direct Exchequer funding as he indicated it would be too expensive.
He said: “One of the reasons why I am opposed to 100 per Exchequer funding is that RTÉ and others who provide public service content will be entirely at the mercy of the Government of the day. I don't think that's a healthy relationship.
“I also know from my experience that finding the money within the annual estimates process is very challenging.
“Even in the worst of times when RTÉ’s reputation has been battered, I think it's around €130 million or so would have been collected in 2023 from the TV licence fee.
“That's an awful lot of money to find in the annual estimates process when you're competing with health and education and other areas that will also be looking for funding.
“I'm not wedded to the existing TV licence being the instrument of the future. I think alternatives can and should be looked at.”
When asked about the prospect of a €15 monthly broadband levy replacing the licence fee, Minister McGrath said that he did not think that would be “fair” as “we don’t have 100 per cent broadband coverage”.
He added: “Even if a decision was made on an alternative, it would require legislation, the system will have to be set up. It will take time.
“We'll certainly have the TV licence for the remainder of this year.”
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