The Public Accounts Committee has recommended "stronger oversight", better value for money and "improved transparency" in the use of public funds across the arts, culture, and media sectors.
It comes as a lack of project management capacity, particularly around the controversial €5.3 million ICT project at the Arts Council was "a significant factor" in the failure of an ICT project, PAC has stated.
The PAC report into spending of the then-titled Department of Tourism, Culture, Arts, Gaeltacht, Sport, and Media 2023, and the 2023 Financial Statements of the Arts Council and the National Gallery of Ireland was published today by Chair John Brady.
He said that the findings in the report were "overall damning" in relation to the department.
The report investigated the information obtained from its hearings and reports pertaining to the controversies over the abandoned ICT project at the Arts Council, and the failures of the National Gallery of Ireland to utilise the X-Ray scanner it acquired in 2018.
The report found "failures from the department to intervene early on", particularly around the IT project, which ultimately cost the taxpayer €5.3 million.
The analysis also highlighted "strong progress" and areas where further improvement is required.
Abandoned IT project costs rose to €6.7 million
In relation to the Arts Council's business transformation Project, which was a central focus of the committee's work, the abandoned IT project, intended to integrate five systems, was confirmed as having been terminated in 2024 after the costs involved rose to €6.7 million.
Reference was made to the Arts Council's information to the committee that they "engaged extensively" with the Department beginning in November 2021, highlighting the "need for a senior resource in IT", but that the discussions continued into 2023 "without any approval for the roles".
Ultimately the report stated that the failure of the project was linked to inadequate ICT capacity, poor project management and a lack of effective oversight by both The Arts Council and the Department of Culture and Arts.
The report also stated that the examinations identified "significant governance and oversight concerns" across the Department and its agencies.
The report said the Department acknowledged "deficiencies" in its oversight of funded bodies, and confirmed that a new internal governance unit has been established following a review by the Institute of Public Administration.
That review subsequently made 16 recommendations, all of which have been accepted, the report outlined.
PAC also noted delays in the "laying of the Arts Council's 2023 Financial statements" before the Oireachtas which were presented in February 2025 despite submission to the Department in July 2024.
The report recommends that all financial statements and accounts "are certified and presented to the Oireachtas" within the recommended guidelines to maintain transparency and accountability.
PAC's publication today also noted the Comptroller and Auditor General Seamus McCarthy's report of an underspend of €56.4 million in the Department's 2023 budget.
Of that amount, €21.5 million was carried forward to its 2024 budget allocation, and the remaining €34.9 million was surrendered to the exchequer.
The Secretary General at the Department attributed this underspend to "post-Covid construction delays and inflationary pressures", pointing to projects such as the RDS re-development and Connacht rugby stadium as examples where progress stalled due to increased costs and limited contractor availability.
The C&AG in his summary of chapter ten of his report raised concerns that the Department's performance indicators were "inadequate" and he warned that "without clear targets and updated indicators, performance measurement risks becoming "a mere box ticking exercise".
The Department acknowledged these concerns, confirming that its Strategic Policy Unit has commenced a review of "current performance measurement procedures".
The committee's recommendations aim to ensure "stronger oversight", better value for money and "improved transparency" in the use of public funds across the arts, culture, and media sectors.
The committee added that while progress has been made, "persistent weaknesses in governance, performance measurement and accountability must be addressed".
The Arts Council welcomed the publication of the report, saying that it has "taken a number of steps" to address a range of issues in the past year.
In a statement, it added the council said it is "committed" to responding "proactively" to the report's recommendations.
National Gallery of Ireland's purchase of the X-Ray machine
The National Gallery of Ireland's purchase of the X-Ray machine in 2017 cost €125,000, and the lack of suitable facilities which led to the machine being unused, were also examined.
The gallery has since committed €222,448 from its own resources to make the equipment operational by the end of 2025.
Meanwhile, the National Gallery has confirmed that having worked with "relevant stakeholders" in recent months, there is progress on bringing the X-Ray system into operation.
The National Gallery said: "As of November 2025, the x-ray cabinet is on site".
The statement goes on to say that the team there is currently "in the testing and staff training phase".
"The X-Ray function is expected to be operational before the end of the year," the statement concludes.