culture secretary to face questions over T in the Park's public funding

Culture secretary Fiona Hyslop is to appear before a Holyrood committee hearing today to explain why the Scottish government gave £150,000 to T in the Park to help bankroll the event when it moved to the new site at Strathallan Castle in Perthshire earlier this year.

Accusations of 'cronyism' have been made after the MSP approved the grant, and MSPs have questioned why the DF Concerts run event whose parent company is American concert promoter Live Nation owned event needed taxpayer funds.

The culture secretary has insisted funding was appropriate, transparent and in line with amounts given to other events. Ms Hyslop said: "The level of funding support provided was in line with the level of funding provided by Scottish Government and its bodies to the organisers of other major events such as Edinburgh's Hogmanay, the John Muir Festival, the World Pipe Band Championships, Celtic Connections and the International Book Festival.

"The grant was paid by the Scottish Government to DF Concerts and Events on 24 July 2015 and, in line with the Scottish Government's firm commitment to openness and transparency and in accordance with state aid rules, details of the award were proactively published on the Scottish Government's website on 28 July 2015.

"After looking into the matter carefully and taking advice from the Permanent Secretary, the First Minister has concluded that this issue was handled entirely appropriately.

"The awarding of this funding followed normal procedures and was based solely on the merits of the case following an objective assessment by Scottish Government officials. I look forward to answering any questions the committee has."

Jennifer Dempsie, a former SNP aide to Alex Salmond, was working on a contract for DF Concerts as a festival project manager at the time of a meeting between Ms Hyslop and festival organisers DF Concerts, ahead of the grant being awarded.

Dempsie contacted Ms Hyslop's private office two months before the festival was due to open, warning her current employer was facing "extreme difficulties" in managing the move from their old home, Balado, to the new site in Strathallan. Two weeks later, Ms Hyslop met with DF chief Geoff Ellis and business development manager Jo Blyth, and state aid was subsequently approved.

The Scottish Government has stated, "DF Concerts and Events outlined a range of additional costs associated with the change of site for the T in the Park event and highlighted unanticipated further costs resulting from the time-limited condition attached to the planning consent.

"DF Concerts and Events confirmed that the 2015 event could be delivered under pressure but that the additional costs faced in relation to it were a threat to its longer-term viability on that site.

"Following detailed consideration of options, including consideration of DF Concerts and Events' finances and an application on June 29 2015 from DF Concerts and Events under state aid rules for support in relation to operational transition costs for T in the Park, the Cabinet Secretary approved funding of £150,000 from the Scottish Government's major events and themed years programme budget."

Dempsie decided earlier this month to abandon plans to run as a list MSP for the SNP in the Highlands and Islands constituency in the 2016 elections.

The bail-out of public money amounting to £150,000 was made just 10 days before the event was held, and was not made public at the time. See earlier news story (here).

Labour MSP John Pentland said: "We need some honesty from the SNP government about this £150,000 payment and the extent of the involvement of a former SNP adviser.

"At a time when the SNP government is slashing the budget for local services, people will find it difficult to understand how such a successful company needs an extra £150,000 from the taxpayer.

"When Fiona Hyslop comes before the committee today in Parliament she needs to come clean about the business case for handing over £150,000 of public money to a successful company."

Scottish Conservative culture spokeswoman Liz Smith, has said on the issue, "The public deserves to know what correspondence took place between the Cabinet Secretary's office and DF Concerts regarding the award of £150,000 and on what criteria was it granted.

"If the claim is being made that the future of the festival was in doubt if this money was not paid over, then surely there was a business case presented to support that argument.

"People want an answer to this question, particularly given the fact that DF Concerts is part of a profit-making enterprise."

T in the Park 2016 dates, and location, have not yet been announced.

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