Nov 06,2024
The government has signed off a new Memorandum of Understanding with the FAI, agreeing to fund the association to the tune of €6m a year until the end of 2027.
As part of the deal, the FAI is required to continue to make reforms to its internal governance structures as well as reviewing and reforming its grassroots leagues at amateur and underage level.
There are 16 conditions the FAI must accept as part of the new MoU. They include continuing to provide that 50% of board members (including the independent chairperson) will be independent directors; and providing "complete and transparent financial reports" to Sport Ireland that allow for the monitoring and oversight of the FAI's financial and cash flow position by the end of each quarter.
The MoU also details that an additional €1m of funding will be allocated this year for the purposes of "football development".
The original MoU between the government and the FAI expired at the end of 2023, having been put in place at the beginning of 2020 amidst the financial collapse of the association following former CEO John Delaney's departure.
The MoU included a total rescue package of €30.8m and came with 163 recommendations and conditions.
Minister for Tourism, Culture, Arts, Gaeltacht, Sport and Media, Catherine Martin confirmed today that of those 163 conditions, 159 had been either completed or partially completed.
"If the FAI had been allowed to fail following its financial collapse, the consequences would have been catastrophic for Irish football at every level, from our international teams to grassroots and schools football," said Minster Martin.
"The previous MoU not only provided the association with financial stability but also brought about the necessary governance reforms to allow it to rebuild itself as a fit for purpose governing body.
"Of the 163 recommendations and conditions set out in the previous MoU, the FAI has either completed or partially completed 159 of them.
"This new MoU will allow the FAI to further progress its corporate governance reform agenda, while at the same time giving it the financial support needed to continue to develop football across the country."
Minister of State for Sport Thomas Byrne added: "It is clear that the FAI's finances remain in a difficult position and will continue as such until 2028 at the earliest, when the hosting of Euro 2028 should have a significant positive impact on the financial outlook of the organisation.
"The Government has decided to approve a new Memorandum of Understanding with the FAI in order to ensure that the organisation’s valuable work in developing Irish football can continue.
"If state funding for the FAI was reduced at this point in time, I believe this would prove counterproductive to the association’s efforts to develop football across the country, and I am also conscious of the negative impact that any reduction in state funding might have on our participation targets."
