MINISTER FOR Communications Eamon Ryan said he “flatly rejects” Labour Party claims that he is a “Pontius Pilate” and a “hypocrite” in a row about the levy to fund industry regulator the Broadcasting Authority of Ireland (BAI) which independent radio and television stations claim will cost jobs.

The Minister in turn accused Labour communications spokeswoman Liz McManus of attempting to make “political virtue” out of claiming “we can wave away any costs”.

The authority, which is funded by the sector, has sought a budget increase from €5.2 million last year to €7.8 million in 2010, because it has taken on responsibility for regulating RTÉ.

During Dáil questions, Mr Ryan said the setting of a levy was a matter for the authority “and not one in which I have a direction function”, but he said the chief executive of the authority is expected to review the budget estimate and would also meet commercial radio broadcasters again.

“He is due to come back on that because everyone including members of the authority is aware of the difficult times people are in.”

Ms McManus said “the name Pontius Pilate comes to mind” and she insisted Mr Ryan had responsibility. She had received submissions from right across the independent radio sector. “People who are concerned about their jobs cannot believe this system of levies is going to be imposed without recognising the impact on budget that radio stations are struggling to survive within at the moment.”

She said he “can still ensure that fairness comes into play and he should do so because he himself promised in this House an undue burden would not be placed on those who are now struggling”.

The Minister said he accepted absolutely that “fairness has to come into play” and he too was concerned about jobs in the broadcast sector. “We knew this was going to be difficult. It was flagged at various stages throughout our legislative process but the experience we’ve had of independent regulation funded by the industry in my mind is a positive one,” he said.

Ms McManus said he was a “hypocrite” and had acted in a “bull-headed” way in establishing an unnecessary quango for regulating communications and broadcasting against the recommendation of the McCarthy report.

She called on him to annul the statutory regulations allowing for the levy, “so we can start again, making sure even at this late stage that we can try and put right what you have created”.

But Mr Ryan said: “I flatly reject your accusations. I recognise there are difficulties in the industry and we do have to look at the regulatory system to make sure it is cost-effective and efficient.”