Wednesday 06 September 2023

Context is key in examining the RTÉ Annual Report for 2022 which is available at www.rte.ie/annualreport.

To begin with, the Annual Report deals with the RTÉ of 2022. It does not deal with the changing RTÉ of 2023.

The Annual Report was finalised before the crises and turbulence of recent times and before the announcement of a series of organisational changes and reforms in RTÉ.

However, the Report does set out the significant and ongoing contribution of RTÉ staff and the Independent Production sector in producing diverse, quality programming for television, digital and radio platforms.

In keeping with previous years, and in line with its statutory obligations, RTÉ’s Annual Report for 2022 was approved by the Board of RTÉ and sent to Minister Martin at the end of June this year.

With regard to the restatement of earnings for Mr. Tubridy which was made on 22 June 2023, this restatement had no impact on our audited financial statements. In relation to the Annual Report it is important to note the following:

• The two payments of €75,000 each, which were recorded in the Barter Account, were processed in the accounts as a charge of €115,000 each, being the grossed-up cost to the Barter Account when allowing for 35% commission.

• This total of €230,000 is included in the overall Operating costs (before depreciation, amortisation, gain on disposal of assets) of €339.3 million as shown in the Group Income Statement on page 115 of the Annual Report or in the Financial Statements menu of the online version (Group Income Statement section).

• The overall operating costs number is further analysed in note 3 to the Accounts (page 131 of the Annual Report or in the Notes section of the Financial Statements menu in the online version) and as the invoices were referenced as promotion costs and booked as such, the €230,000 is included in the Other third-party costs figure of €42.45 million.

For the avoidance of doubt, it should be noted that, subsequent to the completion of this report, Grant Thornton LLP established that the payments in question were not, in fact, promotion costs.

The Annual Report for 2022 represents a particular moment in time for RTÉ, a time when a different culture was prevalent.

But now we must deal with the legacy of this siloed and dysfunctional culture.

As an organisation we cannot shy away from the shortcomings and challenges that have been identified. Nor will we.

In the period since June 2023, we have moved swiftly to address a number of matters so that public trust can be restored in our national broadcaster.

Some of the actions we have taken include increased Board oversight of senior remuneration and the proposed introduction of a register of interests and register of external activities for certain staff and contractors. We are working to break down the old ineffective model and the poor governance which have been identified through an ongoing programme of reform and recovery for the organisation.

Furthermore, a new interim leadership team has been appointed by our new Director General, Kevin Bakhurst, and we are bringing an overall commitment to management accountability and transparency.

The Board has established two Oversight Committees to work with both Government Reviews, on governance and culture and in relation to contractor fees, HR and other matters.

We know that RTÉ has a long way to go in rebuilding our bond of trust with the public. However, I believe that working together across all strands of the organisation, we can do so.

The Board of RTÉ is absolutely committed to working with the Director-General, Kevin Bakhurst to make necessary changes and important decisions that will be vital as we seek to reestablish trust in RTÉ. We must, and we will.

Siún Ní Raghallaigh
Chair, Board of RTÉ