Leinster Rugby is to host a Sports Capital Masterclass with fellow Sport for Business member 2Into3 at the Red Cow Hotel on Wednesday, 30th May.

As reported here in the last week, The Department of Transport, Tourism and Sport will soon announce the 2018 round of the Sports Capital Programme.

In preparation for this announcement, and coming off the back of the recent Sport for Business and Ulster Bank Rugby Club Roadshow, Leinster Rugby has retained the services of 2into3 to assist in the application process.

The Sports Capital programme has historically been seen as only for large capital projects, however, a specific area of the grant programme that is not traditionally accessed is around non-personal sports equipment. This is one of the areas the Masterclass will focus on next week.

“Leinster Rugby is seeking to increase the allocations to, and performance of, our clubs in the Sports Capital Programme,” said Carol Maybury of Leinster rugby who is coordinating the event.

“The purpose of this collaboration is to encourage more of our rugby clubs to apply for funding, while also making sure to avoid invalid applications.”

“After this masterclass, we hope that clubs will have a better understanding of the sports capital process and know what they can apply for in the upcoming round.”

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The surge of interest in the early rounds of this year’s GAA Championship and the revised format from the Quarter Final stage of the Football Championship has put the Association in line for a record year of attendance.

Speaking at the announcement of AIB’s five-year extension of their sponsorships through to 2023 GAA Director general Tom Ryan suggested that over 1,500,000 fans would likely attend the All Ireland Championship this year.

Last year just under 1 million attended the 45 games with almost half of that from the six biggest matches at the business end of the Championship. This year there will be more games and they will be of greater intensity, adding up to a very positive mix of both revenue and also reach at a time when attention is being pulled in ever more directions.

Read more from the GAA’s Annual report on 2017

“I am delighted to be here to welcome the very auspicious announcement of this AIB extension,” he said.

“It has been an outstanding partnership and is now beyond 30 years at club level and eight at inter county which really is a testament to a relationship that works really well and is clearly of great value to both sides.”

“It is not only one of the longest but also one of the most imaginative partnerships in Irish sport.”

“It’s not only about the high profile events as well and operates at every level within the Association.”

“The initiation of the AIB GAA Club Player Awards in recent weeks was another example of how this relationship will continue to grow to deliver value for both sides.”

Read More about AIB’s Five-Year Extension of its Partnership with the GAA

“The prime focus though this morning is on the All Ireland Football Championship and the announcement comes at a very exciting time.”

“We will have a new format when we get to the Quarter Final stage. We are going to see more games between the top teams, at venues across the country.”

“We estimate and we hope that with the advent of new formats across both codes that we will see potentially 1,500,000 people attending GAA games across the Championships which is a very exciting prospect.”

Last year’s attendance was itself up 24 percent on 2016 so to double that increase again would be some achievement, albeit one that can be clearly constructed from adding eight games to the Quarter final stage in football and staging them over 12 different as opposed to last year’s two double headers at Croke Park.

To conjure such an increase in excitement, in fixtures and in overall benefit while at the same time shortening the season to effectively provide around six weeks additional time for club fixtures is a is a construct that we were asked to judge over time but which is clearly heading in the right direction from the very start.

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Sport for Business was live yesterday at the Federation of Irish Sport Annual Conference.

The audience in the Edmund Burke Theatre at Trinity College included leadership from all the major sports in Ireland as well as those throughout the sector drawn by the prospect of hearing how New Zealand, with similar size, population and sporting culture, has stepped up through the gears to win 14 medals at the Rio Olympic Games.

We learned lessons in the way that this one country approached structure by gathering all of the high-performance elements under one organisation, targetted sports on a ‘tough love’ basis of podium potential and delivered for the country and it’s sports stars by delivering an exceptional return on the investment across a multitude of sport.

The pursuit of medals though was not the only item up for discussion as the levels of participation in sport at community level also formed a key part of what was discussed.

It was a day to challenge what we do as a nation with regard to the management and funding of sport, to find that we are right in many areas but to ask also what could we do better.

New Zealand’s march towards the third best per capita performance in terms of medals at Rio began in 2007, a mere decade ago and the first major breakthrough took five years.

Here is a flavour of what the four key speakers delivered.

Reception

There is a great turnout of pretty much everyone who is anyone in Sport.  A total audience of 320 registered for the event, twice as many as have been at previous federation Conferences and indicative of both the quality of the speakers and the willingness and desire to learn.

Chairman of Federation of Irish Sport Roddy Guiney

”We will know we have succeeded when Sport is treated seriously at Government level, as seriously as health.”

Minister Brendan Griffin is on his feet now welcoming everyone.

”The new national sports policy will be ready for publication in early July.”

”We know what are people and our communities need and want as a result of the recent Irish Sports Monitor.”

”Our new Capital Sports Programme will be launched next month and the large scale infrastructure fund will be likewise.”

”These facilities will inspire our high performance Sporting stars to inspire greater participation.”

Peter Miskimmin, CEO Sport New Zealand

”€80M of equivalent government spending on Sport split between high performance and participation.”

”89% of Kiwi Kids get 3+ hours of physical activity each week, ranked number one in the world”

”We love sport, our heroes are from Sport Our kids have a playful upbringing

Quality physical education in primary and secondary school allied to late specialization”

“Massive active volunteer base and quality investment in coaching.”

“Sport traditionally run by baby boomers, saying if it was good enough for me. They are not adapting to meet the demand of modern children”

People are looking for convenience at a time to suit and with fewer formal structures that are the norm in organised Sport

The cost of winning

2013-16 GB $62m into rowing, Australia $34m and NZ $19m all chasing after same 42 medals.

The days of command and control leadership are over.  We collaborate, we work together to discover best practice.

Investment based on enriching and inspiring New Zealanders.

We drive towards a system led approach.

The 11 Critical factors for success in high performance.

Political support

Strong leadership – Single entity focused just on making athletes go faster

System integration – Central funded expertise deployed to sports

Alignment between sports and Sport NZ

Sustainable Funding Its a Money game  Philanthropy raised $9m through Black Gold

Targetting investment  9 Sports in 2007, 13 in 2018.

Size and collaboration  between coaches

Being nimble

Smarts Goldmine programme driving performance through innovation and technology

World Class People

Daily training environment through facilities at home

Mary O’Connor, CEO Federation of Irish Sport

How does Sport contribute?

Health, Reputation, Jobs, economic benefit, community and Tourism Sport is important at every level of our society.

We need strategic and targeted support of people and programmes.

The results of a survey of 56 NGB’s

Geoff Barry, Head of Community Sport NZ

”The system that supplies Sport and active recreation is not meeting the needs of those who need it most.”

”Physical education is in decline and there is significant pressure on teachers.”

“Importance of putting participants at the heart of decision making”

Targetted people not sports. Decision to focus on 5-18 age bracket, particularly teenage girls, those in lower socioeconomic economic groups and those playing competitive sport.

Locally led and nationally supported as opposed to the reverse.

Early specialization is damaging. Creates worry over missing out and the signs of childhood success rarely map to adult success.

Investment based on 60% over four years, 34% over two years, 2 and 3% over 2 and three years of an Olympic cycle.

Sarah Keane, President Olympic Council of Ireland

“Our young people see their place as being on top of the world. We need to match their ambition.  We need to be less distrustful of elite.”

“Supporting ambition to be the best in the world is important in its own right, not just in backing up participation.”

“We can be proud to be ambitious, proud to be proud.”

“We need to create a system where excellence is to be expected.  Instead our system is ad hoc and not properly funded.”

“Throw off shackles of seeing funding of high performance as a vanity project.”

”We need multi-annual funding to enable proper planning and effective consistent results.”

“As a nation, we invest to be the best in many areas. It is time for Government to commit to doing that in sport.”

Join us next week when we have an exclusive interview with Peter Miskimmin and Geoff Barry diving into the specifics of merit-based funding.

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Image Credit: Morgan Treacy, Inpho Photography

The Olympic Council of Ireland has announced €200,000 of funding grants which it will make available to 16 National Governing Bodies of Sport to assist with Olympic focused projects.

The maximum grant is €20,000 which will be made to Boxing, Cycling, Horse Sport, Rowing, Sailing and Swimming.

€10,000 grants will go to Badminton, Judo, Ladies Golf, Rugby and Taekwondo with €7,500 for Athletics and Hockey and €5,000 going towards Basketball, Soccer and Triathlon.

This allocation marks the first year of the programme, the purpose of which is to support specific Olympic based projects and programmes in addition to the scholarship programmes and funding that the OCI provides to support athletes and teams to compete in Olympic events.

The Discretionary Funding is aimed at providing support for projects across three main areas of development support, support in performance coaching and projects under a ‘Make a Difference’ banner.

Each application was reviewed and marked in line with weighted criteria set out as part of the application process, with direct correlation from scoring to funding.

A five-person review panel chaired by Peter Sherrard, Chief Executive Officer of the Olympic Council of Ireland together with members from Sport Ireland and from outside of sport assessed and scored the applications before presenting the scores to a four-person sub-group from the OCI Executive Committee, which was independent to any of the applications.

Read More about the appointment of Peter Sherrard

The OCI received 34 applications from 22 sports, 10 for Performance Coach Support, 15 for Make a Difference Projects, and 9 for Olympic Development Support, for a combined total funding request of €800,000.

19 of the 34 applications were supported with grants ranging from €5,000 to €20,000 per National Governing Body.

The Committee has contacted the 22 National Governing Bodies which applied to give feedback on the applications or to discuss implementation and planning for each of the projects.

“The number of applications clearly showed that there is a big need for increased funding for sport,” said Sherrard.

“This is being expressed by National Governing Bodies across the board. While the OCI support fund is relatively small, its targeted funding is intended to top-up or leverage existing high-performance funding going to NGB’s from Sport Ireland and other sources.”

“We intend to maintain this initiative next year and will continue to work closely with our member sports, their High-Performance programmes and athletes as we move through the Olympic cycle.”

Due to a specific Youth Olympic Games focus, the OCI will also be supporting Gymnastics Ireland and Tennis Ireland with Olympic Solidarity funding that they are eligible for.

The background to some of the specific projects which are aimed at helping Irish athletes maximise their potential will be featured in the coming months across the OCI’s web and social channels as they move towards implementation.

After a flat year in terms of financial advance in 2016/17, a natural hangover from the Rugby World Cup benefit of 2015/16, Irish Rugby surged back into growth and profit in the 12 months to April 2018.

Success on the field with a third ever Grand Slam at Twickenham on St Patrick’s Day was the main driver, with income from International Rugby up 11.3 per cent to a figure of €42.2 million in the year.

This was strongly backed up by a 19.4 per cent rise in the income from provincial competition to a figure of €12.3 Million.  This will not yet include revenue from Leinster’s win in the European Champions Cup and is largely down to increased revenue from the Guinness PRO14 adding teams from South Africa.

The subsequent new media rights deal from the same source will also not filter through until next year’s accounts and shows the sport to be in good health.

Commercial income also rose by 6.7 per cent in the year to a figure of €11.1 Million.

Sponsorship

Renewals in the sponsorship area from Aviva, Aon, Aer Lingus, Volkswagen, DHL and Lucozade Sport, as well as new partnerships on the Sevens side with Elverys Intersport and Blackrock Expert Services, were all acknowledged by Philip Browne in his CEO Report accompanying the accounts.

The significant rise in incomes have resulted in a net surplus for the year of €1.2 Million, well ahead of the €4 Million deficit that had been budgeted given the additional costs of hosting the Women’s Rugby World Cup last August and the bid to stage the Men’s Rugby World Cup in 2023.

The costs for the former, hailed as a major success, were held within budget and while the performance of the Irish team did not live up to the hopes beforehand the tournament itself did at every other level with massive viewing audiences and sold out venues setting a new benchmark for the tournament.

Rugby World Cup

The failure to secure the staging of the Rugby World Cup in 2023 is covered by Browne in detail with “significant flaws in the report which underpinned the recommendation of World Rugby to award the tournament to South Africa, evidenced by the fact that it only received 13 of 39 votes in the opening round.”

Expenditure at national team and provincial level increased to over €42 million inclusive of bonuses payable to players for international and provincial success.

The money spent on elite player development increased to 10.8 million due to increased investment in the Academies and High Performance areas together with the net costs of hosting Women’s Rugby World Cup 2017.

A number of other points of interest in regards to the future of the sport were highlighted in the report.

Strategic Review

The new strategic review covering 2018-23 is expected to be published towards the end of this summer, as well as an analysis of the targets set during the previous one running to this year.

Forecast changes to the makeup of Club Rugby were not referenced in the commentary, though the Women’s AIL was flagged as being under review with a number of changes required “to ensure that it remains the showcase of Women’s Rugby in Ireland.”

“The 2017/18 season was a record-breaking one in terms of team and financial performance, and it is thanks to Joe Schmidt and his management team, the provincial management teams and all the players, as well as the loyal and ever increasing number of supporters who attend games, purchase merchandise and drive our teams on to winning performances.

“The financing of the game has become increasingly important in the context of competing with international clubs who have deep pockets. Keeping our best players in our player management system has helped to deliver success and I congratulate (IRFU Performance Director) David Nucifora and all our provinces for making the Irish system so attractive to players.”

“Success is never guaranteed, and for that reason, we must always be careful how we distribute funding across all aspects of the game. Given the political and economic uncertainty in the world at the moment, and as a number of the provinces are expecting that finances will be very tight next year, we must continue to ensure we don’t live beyond our means.”

Download a full copy of the IRFU Annual Report here.

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Image Credit: Morgan Treacy, Inpho.ie

The FAI has welcomed confirmation this morning that the Department of Transport, Tourism and Sport has approved funding for design fees to a sum of €304,000 for Finn Harps’ new stadium project.

The development of the new stadium project is a core feature of the SSE Airtricity First Division club’s five-year strategic plan.

Finn Harps’ stadium committee worked closely with FAI Facilities Development Manager Walter Holleran to redesign the plans for the new stadium in order to obtain government funding, and FAI CEO John Delaney has expressed his delight at the progress being made.

“This is a fantastic development for Finn Harps and I’d like to thank the Department of Sport for their support of the project and the allocation of funding,” Delaney said.

“The association has worked closely with the club to help redesign the plans in order to obtain this crucial funding for their new stadium project.

“It’s fantastic to see the club work towards their strategic plan and this is a great reward for the hard work of everyone connected to the project.”

“The development of the stadium is key for Finn Harps, the county of Donegal and the north-west region in general,” said Club Chairman Sean Quinn.

“We have worked hard to rejuvenate this project and we are delighted to see it progress. We would like to thank the Department for seeing our vision for the new stadium.

“We will continue to work closely with the FAI for the duration of the project as we look to progress to the next stage.”

The news is welcome relief in the club scene following the continuing troubles at Bray Wanderers.

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Sport for Business and 2 Into 3 are to host a series of Sports Club Masterclasses aimed at helping clubs and organisations from across the sporting spectrum prepare themselves for the 2018 round of Sports Club Capital Grants. The details…

The Government has published its National Policy on Sport which sets a blueprint for what we can aspire to, what we can expect and what we can focus on as those responsible for delivering sport in its many forms over the next decade.

It is a long and detailed paper, running to 57 individual action points and 108 pages, reflecting the time that has gone into its creation and the complexity of dealing with a broad canvas with impact points at every life stage and area of how he live as a society.

The reaction from across the sporting sector, both public and private has been positive to the extent that it is now out there and either accepting or a little bit cynical that much of the detail of how to implement will not become apparent until the report of a new Sports Leadership Group which will be delivered one year from now.

Given the nature of politics that will likely be just in the wake of a general election which presents challenges in terms of the potential for transition between either individual Ministers or entire Governments.

Nevertheless there will always be a reason to say now is not the time.  Thankfully that temptation to delay until after the summer or for any one of 100 other reasons has not been taken and we now have a working document to analyse, disect and work with.

Inevitably the headline is always down to money and there are a number of strong positives there.

Doubling

The lead financial commitment is that Government will raise spending on sport from a current level of €110 million to double that at €220 million by 2028.

Doing the maths that is equivalent to an annual increase each year of the decade of 7.2 percent, a figure that is real and positive over such a long period.

Part of the sports communities occasional frustration with Government is a percieved imbalance between capital and current spending.  There is a commitment to an annual fund for capital projects which currently represents around 40 per cent of total spending in the sector but the assumption has to be that this will remain equivalent and so the current spending will climb at roughly the same pace as a standalone.

As part of the plan, the long called for multi annual funding will be delivered, from 2019 onwards based on four year cycles and reviewed at each cycle.

There is an undertaking to raise funding of high performance sport to the level of comparator nations, with New Zealand as a standard.  This would effectively mean an increase to €30 Million of annual funding in that area, effectively a trebling of the investment that will be available in 2018.

There were more financial incentives delivered by Ministers Ross and Griffin yesterday as well.

A fresh €1.5 million of funding towards high performance programmes aimed specifically at Tokyo 2020 will be delivered.

There will be a doubling of investment exclusively targetting Women in Sport, backed up by the powerful personal contribution which Kellie Harrington made as  part of yesterday’s launch and by the presence of nine-year-old Charlie Moore, pictured left, who had written to Minister Shane Ross asking him to ‘get off his butt and do something more for girls and women in sport.  Neat touch, that.

There will also be a €1 million commitment to disability sport through the funding of a Sports inclusion disability officer in all Local Sports Partnerships, as opposed to some as is currently the case.

A Policy is not a budget though and it is there to inform the straegic initiatives that will lead to delivery of the ultimate goals.

We now know what those are, in three key areas.

Overall particiaption in sport is to rise from 43 percent to 50 percent of the population, an equivalent of 260,000 additional people taking part in sport.

More targetted high performance funding to lift the number of medals at Olympic and Paralympic Games from the 13 achieved in Rio to a target of 20 at Los Angeles in 2028.  This does mean that funding will be spent more in some sports than others and introduce a more merit and evidence basis to the distribution of the finite pot.  This will please some, and leave others on the sideline but sport understands the nature of competition and the aim of winning.

The third key goal is that all funded sports bodies, and this rolls all the way through to clubs, will be in compoliance with the Governance Code for the Community, Voluntary and Charity Sector.

Sport Leadership Group

The next key milestone is only three months away with the formation of the Sport Leadership Group from the sector, Government and hopefully some independent thinking.

That is to be created by October 25th and will report to Government by July 25th 2019. Its remit will be to develop and publish a comprehensive set of key performance indicators covering all elements of the policy  Progress in implementing the policy will be assessed against these indicators.

That choice of words is the 57th action of the policy paper.  Over the coming days and weeks Sport for Business will publish each of the others others and give our view of why they are in and how they might be implemented.

We will do so in order to kick start a conversation around how each might be treated, using our understanding of the wider sport sector and the business and leadership communities in which we operate.

We do not have any higher athority on smart thinking or imagination but we can perhaps provide some common sense and practical suggestions which we hope will help to move the policy along.

It is an exciting time to be involved in sport.  We have a Taoiseach and a Finance Minister who have both served as Minister in the Department governing sport and who are both committed to an understanding of the real benefits it brings.  That is a political strength which sport has.  It does not guarantee any favourable treatment but it does suggest that this is an area that is treated seriously, and that is a winner in itself.

You can read the full National Sports policy document here.

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It is a different world and while it goes by the name of sport it is of a different flavour to that which most around the world would be used to consuming. According to the latest Deloitte figures on the…

It was announced first in the flush of excitement around the Irish Women’s Hockey team and yesterday the detail of an additional €1.5 million from Government towards High performance Sport was confirmed.

A total of 17 sports will benefit from the new money which needs to be spent in 2018. Minister Shane Ross, speaking on RTÉ News at One, said it came from a dividend from the Irish Aviation Authority totaling €12 million of which half went to the general exchequer and have stayed within the Department of Transport, Tourism and Sport.

When news of the money being available broke thankfully there had been a vigorous process of engagement already completed with the High Performace teams across Sport Ireland.

A detailed review with each high performance funded sport took place over twelve months following the publication of the Rio Review. This highlighted the greatest needs across the sports most likely to deliver on a world stage and while some of them were accommodated in the high performance funding revealed earlier this year for 2018 there was a plan on how best to spend additional money which was being sought but was not available at that time.

It’s smart financial planning. Determine what is needed. Spend what you have to get towards the full aim, and know what is next when the money becomes available.

It was portrayed that this was an opportunist announcement by Government as the nation celebrated success in Hockey but in fact it was fully thought through and fully planned. Just like the performances it will fund, the planning of investment demands attention to detail and doing one right thing after another.

The funding will be used to assist National Governing Body preparations for major competitions including the 2020 Olympic and Paralympic Games, and key World Championship events.

It has further been boosted by an additional €250,000 towards the purchase of equipment by Sailing Ireland and Rowing Ireland, reward based on merit with their both having delivered Silver medals at the Rio Olympic Games.

“Sport Ireland is grateful for the additional funding for high performance sport, which followed detailed discussion with the Department of Transport, Tourism and Sport and the Minister,” said Sport Ireland Chairman Kieran Mulvey taking a break from negotiating a settlement of the Ryanair and Forsa dispute at Dublin Airport.

“The National Sports Policy which was published recently highlights the need for increased investment in high performance sport if Ireland is to reach its potential on the international stage. The funding being announced today is an important step towards this objective.”

“In order to ensure athletes and teams are adequately prepared in advance of the Olympic and Paralympic Games, pre-competition camps are planned in both 2019 and 2020. There are significant costs associated with these vital activities and as such additional funding has been allocated to the Olympic Council of Ireland (€175,000) and Paralympics Ireland (€100,000).”

“In early 2018, Sport Ireland identified an immediate need for investment in order to offset the high costs associated with qualifying and preparing for 2020 Olympic and Paralympic Games in Tokyo and participation in other key World Championship events,” added Sport Ireland CEO John Treacy.

“We have worked closely with the National Governing Bodies to ensure that this funding will be targeted towards enhancing athlete and team performance. We look forward to seeing a return on this much needed investment in the years ahead.”

Here is a full breakdown of the money going to each of the sports and what it will be used to pay for:

Hockey Ireland €500,000

To support the campaigns of the men’s and women’s senior teams to Tokyo 2020; to further enhance player support under the Carding Scheme; to advance the establishment of a base at the Sport Ireland National Sports Campus; and the facilitate greater engagement with the Sport Ireland Institute.

Olympic Council of Ireland €175,000

To support preparations for 2020 including the pre-Games Holding Camp and Tokyo projects

Paralympics Ireland €100,000

To support preparations for Tokyo 2020 including a training camp this November and the pre-Games Holding Camp in 2020

Horse Sport Ireland €175,000

To support Team Ireland’s participation in the World Equestrian Games in North Carolina, September 2018. Significant costs are associated with the transportation of horses to this event which is an Olympic qualification opportunity.

Swim Ireland €75,000

To support the advancement of the National Performance Centre for swimming and diving at the Sport Ireland National Sports Campus, Dublin. To assist with the coaching and accommodation costs associated with this project.

Gymnastics Ireland €75,000

To support the establishment of a National Training Centre for gymnastics at the Sport Ireland National Sports Campus, Dublin. To assist with the relocation, coaching and accommodation costs associated with this project.

Athletics Ireland €50,000

To support the development of Irish coaches who are working with high potential junior athletes transitioning to senior level throughout the Tokyo cycle

Irish Athletic Boxing Association €50,000

To support the costs associated with participation in the EU Boxing Championships which was added to the competition calendar in 2018. To facilitate the expansion of the coaching team based at the Sport Ireland Institute

Cycling Ireland €40,000

To support the Track Cycling campaign to Tokyo 2020 and maximise the opportunities presented with the addition of new events to the Olympic programme

Rowing Ireland €40,000

To advance the transition of junior rowers to senior level and support Rowing’s coaching programme.

Irish Sailing Association €40,000

To support Sailing’s planned training camp to Japan this September. Significant contact hours in an established base at the Games’ location has been identified as a critical success factor to Sailing’s Olympic preparations.

Badminton Ireland €25,000

To support Badminton’s coaching programme and assist the transition of junior players to senior level throughout the Tokyo cycle

Irish Judo Association €25,000

To support the Olympic campaigns of Judo’s carded athletes, Megan and Ben Fletcher.

Cricket Ireland €40,000

To support the women’s participation in the ICC Women’s World Twenty20 Tournament taking place in the Caribbean this November.

Confederation of Golf in Ireland €40,000

To support the hosting of the World Amateur Team Championships in Carton House this August.

Irish Taekwondo Union €40,000

To support the coaching programme of Taekwondo’ s carded athlete as they continue their campaign to Tokyo 2020.

Triathlon Ireland €30,000

To support Triathlon Ireland’s campaign to qualify a mixed team relay to Tokyo 2020. This is a new event to the Olympic programme and provides two males and two females with an opportunity to target Olympic representation.

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According to a new report from accountancy and business advisory firm BDO, nine in ten clubs in the English Premier League (EPL) are expecting to report profits after player trading.

The BDO report – which surveyed the Finance Directors (FDs) of almost 50 clubs throughout England and Scotland – has become an annual staple and this year’s research suggests the sport is in rude financial health.

It is also a snapshot on how that financial health has translated into a change from the sense of a club being of its community towards being one of investment. The vast majority of Football League clubs and Scottish Premier League clubs have been subject to a formal or informal approach in the last 12 months.

Far Eastern interest has been overtaken by US interest and institutional investors now make up the largest proportion of interested investor parties.

There are still huge financial disparities between top flight and lower league clubs but one thing they would all agree on is that success doesn’t happen overnight nor does it purely rely on the performance of eleven men on the pitch.

Management

Running a football club is, in many ways, no different to running any other business. It needs a highly skilled management team, a quality talent pipeline and a healthy and sustainable balance sheet.

“Despite living with uncertainty, football clubs are confident of a future worth investing in,” said Ian Clayden, a Partner at BDO.

“Management teams are looking at commercially-savvy ways to diversify and find new revenue streams. They are targeting strategic alliances with overseas clubs and franchises, and entering into other commercial ventures such as hotels, restaurants, leisure centres and other complementary activities.”

“They are also investing in technology and facilities to improve the experience and augment engagement with loyal customers.”

“Outside of promotion or avoiding relegation, building a loyal fan base is the number one priority for most clubs. This concept of ‘customer first’ will not be unfamiliar to most consumer-facing businesses.”

The clubs are using technology and smart marketing to make themselves as relevant in the lives of younger fans as they were in the days of their parents and grandparents. The game has changed immensely since then but the basic principle of making the outcome of a game really matter still hold true.

Uncertainty

“For UK businesses, there’s a huge amount of uncertainty, not least in the lead up to Brexit,” continued Clayden.

“But those that plan ahead, remain innovative and responsive to changing customer demands will come out on top. If businesses are looking for an exit or a funding boost, there is still a healthy appetite for M&A activity with investors – many from overseas – looking to tap into the UK market.”

Most business leaders will relate to one of the clubs’ biggest expenditures – people. Four-fifths are spending more than half of their turnover on player wages. Championship clubs are spending even more, with over half allocating more than 75 percent of their earnings on wages.

To help mitigate this high cost base, clubs are making a significant investment into youth academies to help develop rather than buy-in talent.

Nearly two-thirds of clubs from the second to the fourth tier of the game in England have increased academy budgets year on year.

With an inflated transfer market, player transfers have become a key revenue source for the lower leagues. Many are realising the benefits of investing in talent that can be brought through to first teams or sold on for significant profits.

“Attracting and retaining good quality people is one of the biggest challenges facing businesses,” said Clayden.

“Some companies, I’m sure, will relate to the frustration that those in the lower leagues are feeling with larger clubs cherry-picking the best talent and attracting people with big-ticket salaries that they simply can’t compete with.”

“Investment in your talent pipeline rarely yields overnight success but a focus on personal development, upskilling and developing quality apprenticeship or graduate schemes, will see businesses benefit in the long term. In most organisations, people are its most valuable differentiator.”

Community

One other key finding from the report relates to community investment and participation.

“It’s clear that the importance of being part of the local community is core to the culture and strategy of football clubs,” said Andrew Groat of BDO.

“Our survey this year records a 50 percent increase in the number of respondents who are active in football and community care projects; three-quarters of clubs are community focussed.”

“Sadly, it would appear to be a continuing trend that this aspect of the industry does not receive the media attention it deserves.”

We at Sport for Business are doing our part to reverse that trend with our Sport for Social Good Report and Conference taking place in Dublin next month where will be highlighting some of the work that does take place in this area.

If you are a member of Sport for Business and would like a full copy of the report, simply contact us today and we will get one to you.

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Sports clubs across the country are waking up today to the timetable of what they need to do to secure a confirmed €40 million as part of the new round of Sports Capital Grant Funding.

The details of the fund and the criteria which clubs need to meet were announced yesterday by Minister for Transport, Tourism and Sport, Shane Ross T.D. and Minister of State for Tourism and Sport, Brendan Griffin T.D.

The fund is the Government’s primary vehicle for providing support to sports clubs and communities to develop sports infrastructure around the country. It has delivered over €100 million into local sports communities and is vital for clubs to get right.

Applications will open on Friday 7th September and close at 5pm on Friday 19th October. Clubs have to be registered on the programme website and the closing date for that is October 5th.  It’s a short window but one which needs to be met.

Sport for Business is hitting the road with grant application experts 2into3 to deliver four masterclass workshops to give clubs the best shot at getting it right.

They will take place in Cork next Tuesday, September 4th, Athlone on the 5th, in Citywest in Dublin on Tuesday 11th and at Na Fianna GAA Club on the 12th.

“We will be there to answer the questions, guide the application process and help clubs deliver their best chance of securing a transformational amount of funding for their club,” said Darren McMahon of 2Into3.

Booking for the sessions can be made directly from here.

“This is further excellent news following a superb summer of Irish sporting achievements,” said Minister Ross.

“Recently we launched our new National Sports Policy 2018 – 2027 which confirmed our commitment to invest in sports facilities in the years ahead. The opening of a new round of the Sports Capital Programme shows that we are committed to delivering on this objective.”

“The programme itself has already transformed sports facilities in practically every community in Ireland. The €40 million that is now available provides an opportunity for even further improvements and I would urge all organisations with a suitable project to apply”.

“While the Sports Capital Programme is already hugely popular with sports clubs across so many different sporting disciplines, we are determined to make the application process as simple and user-friendly as possible,” added Minister of State Griffin.

“We undertook a detailed review of the 2017 round of the Sports Capital Programme and the recommendations arising have been fully factored into the new terms and conditions of the 2018 scheme.”

“In particular, we are introducing some significant changes in our assessment methodology to ensure that we minimise the number of invalid applications. We will also give even greater priority to applications from disadvantaged areas and projects that promote the sharing of sports facilities with other clubs and the wider community.”

This focus on collaboration is something we have long advocated for and the new round will also allow for schools to apply in conjunction with clubs.

“I’m delighted that this year, following an agreement by both my own Department and the Department of Tourism, Transport and Sport, that all schools may now be able to avail of the Sports Capital Grant Scheme as long as they do so in conjunction with a sports club,” said Minister for Education and Skills Richard Bruton.

“This is a great opportunity and I encourage all interested schools to apply.”

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Sport for Business hits the road this week and next with our partners 2Into3 to host a series of Sports Club Masterclasses.

The subject this time around is the very pressing matter of how clubs can be best prepared for applications to get a share of the €40 million on the table as part of the 2018 Sports Capital Fund.

Applications will open from this Friday and remain open only until October 19th.

Our Masterclasses will take place this evening in Cork, tomorrow night in Athlone and then next week in Dublin.

Places are still available and can be booked from here.

The details of the fund and the criteria which clubs need to meet were announced last Thursday by Minister for Transport, Tourism and Sport, Shane Ross T.D. and Minister of State for Tourism and Sport, Brendan Griffin T.D.

The fund is the Government’s primary vehicle for providing support to sports clubs and communities to develop sports infrastructure around the country. It has delivered over €100 million into local sports communities and is vital for clubs to get right.

“We will be there to answer the questions, guide the application process and help clubs deliver their best chance of securing a transformational amount of funding for their club,” said Darren McMahon of 2Into3.

We will report tomorrow morning on how tonight’s session has gone.

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Sport for Business and 2Into3 got our Sports Club Masterclass series on Sports Capital Funding underway in Cork last night with the event branded a ‘brilliant insight and a massive help’ by the 20 clubs in attendance spread across eight individual sports.

A presentation on what can be applied for and what is needed in order to give your club application the best possible chance of success was followed up by a detailed discussion with each of the clubs involved and a real sense that a substantial chunk of the €40 million being made available would be heading to Cork.

Clubs from GAA, rugby, soccer, rowing, swimming, hockey and athletics were all represented and left the Mardyke Arena with a very clear perspective on what they were going to do and an action plan to get themselves ready for the very short window of application.

“Last year there were applications from 2,800 clubs so competition is intense,” said Rob Hartnett of Sport for Business.

“These Masterclasses are aimed at giving an edge to those clubs who attend.”

“One of the challenges that clubs face is the turnover of people who volunteer at committee level,” said 2Into3’s Darren McMahon.

“The knowledge that might have informed previous decisions to apply or not may have now moved on and there was a real sense tonight of both the simplicity but also the complexity of getting this right.”

“Clubs were unaware of the fact that this does not need to be for a new clubhouse or All Weather pitch. Projects for non-personal sports equipment which could include team kits can all be submitted and while the application window this year is very tight there is still time.”

The application period opens up this Friday and runs through to 5 PM on Friday, October 19th.

There are still places available to join us for the remaining three sessions in the Masterclass series taking place at Athlone Institute of technology tonight, at Citywest Hotel in Dublin on Tuesday, September 11th and at Na Fianna GAA Club in Glasnevin on Wednesday, September 11th.

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The 2018 round of Sports Capital Funding opens today with up to 3,000 clubs expected to apply for the €40 million of funding which is available.

We have been out and about with clubs across the country this week, together with our colleagues in 2Into3 giving solid advice and pointers on how to give your club the best chance of success.

We have learned about the breadth of projects that can be applied for, many of which have been a surprise to clubs and have altered their short and long-term thinking on how the fund can best deliver for their club.

We are in Dublin next week for two final events. The application window closes on October 19th and the clock is ticking.

If you would like to join us as a club or an NGB looking for pointers to pass on you can reserve your place for either of the events at the links below.

Citywest Hotel, Tuesday 11th September 1830 to 2100

Na Fianna GAA Club, Glasnevin, Wednesday 12th September 1830 to 2100

 

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Sport for Business has seen the pre-budget submission from the Federation of Irish Sport. It contains five clear and concise asks of Government as they consider spending plans for 2019 and beyond.

These include a ‘significant increase’ in current funding for National Governing Bodies and Local Sports partnerships; multi-annual funding programmes for performance and participation; a greater role for central sporting bodies in the allocation of Sports Capital Funding; an advance in the introduction of tax incentives relating to sport; and the provision of direct funding to cover increased costs of Governance and Compliance.

Following on from a listing of the spectacular successes achieved in Irish sport over the last twelve months the Federation hails the most important event as being the publication of the National Sports Policy 2018-2027.

Those wearing medals and brandishing trophies may beg to differ in a personal context but in the longer term, the Federation is right.

“This historic document enshrined the important role that sport plays in Ireland across so many different areas including health and well-being; economic activity; education and personal development; community development and social cohesion; and international reputation,” states the submission.

“It also reiterates the Government’s full commitment to fund sport in an appropriate manner with the target being a doubling of funding to an annual €220 million over the next ten years.”

The submission points out that if the full potential of the capital investments in clubs and at the Sport Ireland National Sports Campus is to be fully realised that “there needs to be a commensurate investment in people and programmes.”

The Federation represents 100 organisations in sport from the GAA and Olympic Council to the Baton Twirlers Association and 26 Local Sports Partnerships.

It is an important voice in terms of advocating to Government on behalf of members, more so than Sport Ireland which, as an agency charged with distributing Government funds is inhibited from doing that.

The six areas in which Irish sport is seeking consideration in the budget, which will be announced on October 9th are as follows:

1. Increase in Current Funding:

The National Sports Policy document has pointed to the important role that will be played by the NGBs and LSPs in the ultimate delivery of the Policy. These two groups of organisations are responsible for the majority of the people and the programmes that will deliver the majority initiatives that to ensure sport meets the challenge set out in the Policy. In particular, to increase by 2027 the number of adults regularly participating in active and social sport by 7% (the equivalent of an extra 260,000 people participating in sport)

The sport policy has also rightly identified increasing participation, over the period of the plan, for older people, the disabled, and poorer communities. It is recognised, in the Policy document that these hard to reach segments will require higher levels of support than the current sports model has capacity for, particularly in a full employment economy.

It is vital our members begin this important task as soon as possible, it is equally important that the funding to achieve this is provided at the earliest possible opportunity. With 25% of LSPs and 33% of NGBs saying their biggest single challenge in delivering on their objectives is funding. We would call on the government to make a significant increase to current funding (that goes to our member organisations from Sport Ireland) in recognition of the role they have to play and the need to begin their work as quickly as possible.

2. More Certainty in Future Funding:

More certainty on funding has been a key policy demand for NGBs and LSPs for a number of years, the Federation is delighted to see that the Sports Policy is committed to ensuring that there is more certainty for funding for Irish sport in the future. The Policy has committed to multi-annual funding for High-Performance Programmes by 2019 and also for participation programmes.

We would ask the Government to align such multi-annual performance for participation programmes with the high-performance commitment and that multi-annual funding for participation programmes would also begin next year. The Federation is happy to work with both Sport Ireland and the Department of Sport to enable this to happen.

3. Sports Capital Programmes:

The Federation welcomes the Government’s commitment to further annual capital funding programmes both through the existing programme and through the new sports capital for larger infrastructural works. We would ask that the Government take on board the paper submitted by the Federation in April 2018 in relation to the allocation of such funding.

In this, we recommended that the knowledge and expertise of the National Governing Bodies be utilised to ensure that such capital funding is directed towards projects that will have maximum impact in meeting the objectives of the National Sports Policy.

We proposed that, for the next round of the SCP, the Federation would collate an exercise under which each NGB would identify the infrastructural deficiencies and national priorities that it identifies for its sport, and make this available to the Department as a checklist against which applications can be scored under a proposed new criterion. This would also ensure that the NGBs can plan to have the necessary people and programmes in place to ensure maximum benefit is derived from all new facilities once completed.

4. Sport and Tax:

The Federation has called on the Government previously to explore the role of tax incentives in attracting non-Exchequer investment. We are delighted that the Sports Policy includes a commitment to review this. We are happy to work with the Department of Finance and Revenue in making available the relevant expertise of many of our members so that proposals can be developed which deliver the required results in a way that offers value to the Exchequer. We believe that a tax incentive, proven to be effective internationally, will work in Ireland.

5. Good Governance & Compliance:

Over the past decade the proper governance of sport has rightly been highlighted. There has been a recognition that sport must embrace the highest standards particularly in encouraging more and more young people to participate. This has been totally accepted and embraced by our members for example, 60% of NGBs have reviewed their governing documentation in the last 2 years in an effort to ensure they are in line with best practice.

Included in such governance has been increasing regulatory requirements many of which are designed to protect participants and are therefore to be welcomed, but they have increased the administrative burden on NGBs & LSPs some of whom are still run on an entirely voluntary basis. These include commitments to health and safety; Garda vetting; Child Protection, Data protection (GDPR) and as well as full implementation of the Governance code which all NGBs & LSPs are due to complete by 2021 under the National Sports Policy.

The fact is, however, that over the last decade these very necessary activities have led to funds being taken from other activities and programmes. It has been estimated by our members that between 10% and 15% of their total budgets now go on such activities. We would call on the Government to recognise this cost and to begin reflecting its reality in the provision of funding directly for these activities.

It is, as would be expected from CEO Mary O’Connor and Chairman Roddy Guiney, a persuasively argued case.  Sport is always up against it when going into a public arena battle with health, education and economic arguments but in the greater scheme of Government funding it remains an area where a substantial gain can be achieved for a relatively modest absolute increase.

The government recognises the popularity of sport and its importance in terms of overall strategy on health and wellbeing.  It must be hoped that this will follow through in delivery on the financial front next month.

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The review of Women’s rugby undertaken after a range of issues came to the fore post our hosting of the Rugby World Cup last year is expected to go before the influential IRFU Committee this week as part of the overall new strategic plan being prepared for the sport.

Events across the water in England will no doubt also be on the agenda with news this week of good and bad news for the sport.

To start with the good the RFU has announced that 28 full-time contracts will be offered in the Women’s 15’s game from January 2019 in time for the next 6 Nations tournament. This rows back on the disappointment this time last year when a focus on 7’s meant that contracts were not renewed for 2018.

It seems now though that the contracts will be available on a permanent basis with money set aside and ring fenced to meet the cost.

“This has long been our ambition and demonstrates the RFU’s commitment to growing the women’s game and the belief we have in the future of the sport,” said CEO Steve Brown.

“The move will continue to drive standards in the game both at a domestic and international level with all England players eligible to play for their clubs in the Tyrrells Premier 15s competition, returning to the RFU for England duties.”

“We are at a tipping point for women’s rugby globally and it is our ambition to be world number one and drive growth at every level.”

“As an organisation, from top to bottom, we are very much behind this and want to see the continued expansion and growth to realise the ambitious targets we have set ourselves.”

Under its women and girls strategy, the RFU plans to double the number of participants by 2021, increase the number of women’s teams by more than 75% to 800, the number of active women’s clubs to more than 400 and get more women involved in the sport as referees, coaches and volunteers.

The commitment is easier to say than to fund but the focus does appear to be crystal clear.

That is important because of the bad news coming out at the same time with up to 60 redundancies also taking place as part of a major cost-cutting exercise.

This has been necessitated by a reported €35 million overspend on the redevelopment of Twickenham Stadium.

A programme of installation of artificial pitches which had been part of a legacy programme following on from the hosting of the 2015 Rugby World Cup has also been placed on hold.

The 2019 version of that tournament will provide a funding boost for Unions around the world. It would appear that the game in England might be in need of that more than most.

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Sport was celebrating on a number of fronts after yesterday’s Government Budget for 2019 was announced in Dáil Eireann.

While we will have to wait for the full detail at a special briefing in Government Buildings this afternoon, the early indications are that there will be a just over 13 per cent rise in funding from €111 million in 2018 to €126 million in 2019.

Some of this has already been revealed, including €40 million towards Sports Capital Projects, the application window for which is open for another ten days.

According to estimates published as part of the budget process, there will be an 11.4 per cent increase in core funding for sport, paid through Sport Ireland, from €57.9 million to €64.5 million.

The general reaction from across the sports sector was positive.

“Budget 2019 certainly seems like it is a positive one for sport,” said Mary O’Connor, CEO of the Federation of Irish Sport.

“While we look forward to hearing the detail regarding the breakdown of the increased investment across people and programmes and capital projects, our initial reaction and that of our members is positive.”

“The publication of Ireland’s National Sports Policy in July this year was a significant first step in recognition of the important contribution sport can and should make to Ireland. It is great to see Government begin to commit the necessary funds to allow for the implementation of that plan in the first budget following the publication of that landmark Policy for Irish sport.”

Read more about the funding of Horse and Greyhound racing in 2019.

Another important element in the budget was the retention of the nine per cent VAT rate for sporting facilities. While the Department will be disappointed that arguments for retaining the reduced rate across the tourism and hospitality sector were not agreed to, maintaining the rate in sport is another winner.

“Ireland Active very much welcomes the retention of the 9% VAT rate for sporting facilities as we believe it would be wrong to increase tax on physical activity given the need to get more people active in the country,” said the representative organisation’s CEO Conn McCluskey last night.

“It is also positive to see an increase in the sports budget for 2019 by €15m which we hope will go towards programmes, people and facilities that ensure a more active sporting nation.”

“The National Sports Policy launched earlier this year provides a blueprint for government and stakeholders in sport to deliver on the potential of Irish sport and we believe these positive tax and investment measures can give Ireland a sporting chance.”

Sport for Business will be attending the Ministerial media briefing on the detail of the budget and will have detailed analysis and additional commentary on Thursday morning.

Sport for Business attended a special briefing on the 2019 Budget at Government Buildings yesterday where some of the finer detail of the allocation to sport were outlined.

We were able to clarify that the additional €6.5 million we revealed yesterday will all be new money and will be on top of the €1.5 million announced across a number of Olympic and other sports back in August.

The launch of the National Sports Policy has been a clear driver of the argument from Department officials who have had a tough time over the past two years with relatively static programme funding.

The commitment to double funding from €111 million to €220 million in ten years really had to get off to a winning start to maintain credibility around the ambitious scope of the policy and that is what was confirmed yesterday.

€2.3 Million Additional Core Funding for NGB’s

We can confirm that this increase will amount to €2.3 million in 2019, an 11.4 % increase on the money that is used by National Governing Bodies to fund staff including development officers, programmes of engagement and day to day running costs.

This has been an area of contention in recent years as increases in Capital spending outstripped that available to fill the properties that were being developed.

This money is distributed through and controlled in how it is distributed by Sport Ireland. Each of the sports will now finalise their submissions for next years funding which should be confirmed in the early part of next year.

€1.5 Million Extra for High-Performance Sport

We confirmed yesterday that this will be new funding for High-Performance programmes and athletes, additional to the exact same amount announced in August. That money was deemed as a windfall, from money within another area of the Department but this funding will be extra, making a €3 million advance since the start of the summer.

As with the core funding, Sport Ireland and High Performance Director Paul McDermott will now work with each of the sports in the High Performance sphere to determine the breakdown of how this money will be spent to best effect in the current Olympic Cycle.

€1 Million Extra for Women in Sport

The application process for NGB’s to bid for 2019 money said that the Women in Sport Programme would be confirmed at a later stage. There was never a fear of the ‘carved-out’ funding stream being discontinued and indeed it has now been doubled. Each of the individual sports and local sports partnerships will now be able to bid for twice as much money as was available for the past number of years and we look forward to a number of smart initiatives coming forward as a direct result.

€1 Million Extra for Disability Officers

An additional amount has been set aside so that Sport Ireland can fund a Sports inclusion and Disability Officer for each local sports partnership around the country.

These individuals have been effective where funding has allowed for their being active within communities. Dublin Sports and Wellbeing Partnership is one that it is known will be stepping up work in this area as a direct result of the new funding.

€700,000 Extra for Gaelic Players Association

This is money that was agreed to work back into the agreement between the GAA, Gaelic Players Association and Government and gives a good boost to the new management regime at the GPA led by Paul Flynn.

All these elements are a significant commitment of additional funding from Government, on top of the commitments outlined in Capital Funding, for smaller local as well as major infrastructure projects.

Take a look at our A-Z Guide to the Capital elements in Budget 2019

“Following the launch of the new National Sports Policy in July, a significantly increased allocation of €123 million has been made available to support our sporting heroes from the grassroots to the high-performance, which represents a 13% increase on last year,” said Minister Shane Ross.

“This significant increase in funding available for sport is proof of our ambition to increase sporting participation at all levels from grassroots to high performance and will enable us to start delivering on some of the key objectives of the recently published National Sports Policy 2018-2027,” added Minister of State Brendan Griffin.

“In particular, it will enable us to double the level of funding for its Women in Sport programme to €2million and to create a dedicated programme for disability sport through the deployment of a Sport Inclusion Disability Officer in all 26 Local Sports Partnerships countrywide.”

A new round of the Sports Capital Programme is currently open for applications and the 2019 funding covers all existing commitments plus new allocations of €40m which will be announced next year. We will also be making our first allocations under the new Large Scale Sports Infrastructure Fund.”

Take a look at reaction from across the sporting spectrum to the measures announced in Budget 2019.

The opening of applications for funding of large-scale sporting infrastructure projects could happen as soon as next week.

Sport for Business attended the special Ministers Briefing of elements relating to sport in Budget 19 and the detail of this new funding stream is drawing closer.

We have reported in recent weeks and months that at least three projects are already lining up to tap into the fund. These are the RDS and Leinster Rugby submission for the redevelopment of the RDS Arena; the newly announced redevelopment of the Sportsgrounds in Galway from Connacht Rugby and the Irish Greyhound Board and the potential National Cricket Stadium on the site of the Sport Ireland National Sports Campus.

There will be others for sure with a number of GAA projects also thought to be ready for submission.

We learnt yesterday that an additional €8.8 million has been secured for this fund which will now be worth €63 million over the first years of 2019, 2020 and 2021.

There will likely be a renewal of a similar amount under the auspices of Ireland 2040 and these will be exciting times for project managers working on the big idea elements of our sporting infrastructure.

It was also confirmed that €40 million will be distributed as part of the Sports Capital Grant scheme currently open until Friday week.

Depending on the scale of applications, which is believed to be high, the plan is to make announcements on at least some of these in the early months after a determination has been made as to eligibility and local or regional importance.

Read our A-Z of Sports ‘Current Funding in Budget 2019

This year’s window of application was late due to a number of issues which have now been ironed out in terms of criteria and the logistics of application.

It is hoped that a spring window of application will be announced with the first confirmation of this year’s funded projects.

It was also confirmed at the briefing that an additional €16.5 million is being made available for the continued construction of the National Sports Campus at Abbottstown.

The second phase of the National Indoor Arena is rising from the ground and will be followed by works starting on the new Velodrome and Badminton Centre.

Read about reaction from across the sporting spectrum to Budget 2019

Image Credit: Rob Hartnett