RTE very disappointed with licence fee increase
Wednesday, 4 July 2001
RTE says it is 'very disappointed' with the announcement of a £14.50 increase in the television licence fee, adding that the decision raises 'very challenging questions' for the organisation.
In a statement last night, the company said it believed its case for a £50 increase had been fully argued and justified and included a structure which would have provided continuity for the public funding of public service broadcasting.
The increase, approved by the Government and announced by Arts Minister Sile De Valera, comes into effect on September 1 and brings the price of a licence for a colour television to £84.50. For a black and white television, the licence will be £68.50.
Another possible increase will be considered in 18 months time. Minister de Valera told RTE last night that the £14.50 rise would enable RTE to maintain current services without eliminating cash reserves. She said yesterday's decision also gave RTE the opportunity to seek a further increase on the basis of performance.
She said licence holders had to be reassured that licence fee revenue was well spent and that the RTE Authority met its statutory obligations in the most cost effective manner.
She added that the Government had agreed that costs in RTE must be reduced in line with the organisation's transformation agreement. The Minister said any additional funds would need real improvements in services before any further increases were considered.
Ms De Valera said she would like to see comprehensive, fully-costed proposals for RTE's digital television plans. The Minister said the current submission was 'too vague'.
RTE said the implications of the decision would be considered by the RTE Authority at its next meeting which has been brought forward to Friday July 6.
- News At One: Oonagh Smyth talks to people in Dublin to find out what they think of the public service they are getting from RTÉ
- News At One: Eoin Ronayne, Irish Secretary of the NUJ, discusses the licence fee increase
- Morning Ireland: Colm Connolly, Arts and Media Correspondent, speaks to Paddy Wright, Chairman of the RTÉ Authority
- Morning Ireland: Tania Banotti, Director of Film Makers Ireland, reacts to the increase
- Morning Ireland: Dinny McGinley, Fine Gael spokesman for Arts, Heritage, the Gaeltacht and the Islands, discusses the increase
- 6.01 News: Charlie Bird, Chief News Correspondent, reports on the licence fee increase
- 1.00 News: Eoin Ronayne, Irish Secretary of the National Union of Journalists, discusses the increase
