A fresh report from parliament has raised alarm bells with the future of British Horse Racing under threat. The proposed government measures could severely undermine the sport.
The All-Party Parliamentary Group (APPG) published a study for Racing and Bloodstock which highlighted three fresh threats. These were: a planned rise in online betting tax, the introduction of stricter affordability checks on bettors and the lack of reform to the Horse Racing Betting Levy system.
Horse Racing supports around 85,000 jobs and contributes more than £4 billion annually to the UK Economy which shows its cultural and global significance.
“Part of the social fabric”
The Co-Chair of APPG Dan Carden stressed racing’s role within British life, citing data that over 53% of the public agree that the sport is part of the nation’s identity.
“It shapes the sense of place in racing towns, unites families across generations, and remains a way of life for rural communities,” Carden reiterated.
The report also showed that 62% of the British public believe the government has a duty to protect the UK’s sporting reputation internationally which MP’s argue should extend to Horse Racing.
Levy under extent scrutiny
Currently bookmakers pay 10% of profits from British Racing bets into the Racing Betting Levy, the funds prize money, welfare in equines and veterinary research. That being said the sport receives less than 3% of 13 billion wagered annually on horse racing by UK bettors which is the lowest proportion of any major racing nation.
This shortfall shown in this report threatens Britain’s global competitiveness. It also shows the downfall in the current structure which exempts bets placed by UK punters on overseas races. MP’s argue this creates an “inverse tariff” that encourages bookmakers to prioritise racing overseas than domestic fixtures.
The rising costs and risks
The proposed increase to 21% Remote Betting and Gaming Duty could cost more than £40 million alone on horse racing betting online. The APPG stresses this would push bookmakers to push cheaper gaming products instead of sport betting, while also driving punters towards unregulated black market platforms.
The financial risk checks that were introduced after the 2023 Gambling White Paper have been “inconsistent” and blamed for the massive £1.6 billion drop in online betting turnover on racing over the past couple of years. The APPG is pushing for a more streamlined system that protects the vulnerable bettors without punishing the people that play within their means.
A decisive moment for policymakers
With big decisions looming which will have a substantial effect on the future of British Horse Racing the APPG insist that racing must be treated differently from other forms of gambling data with its unique economic and cultural role taken into account.
The report concludes with a stark warning:
“The government has a choice—proceed with harmonisation and jeopardise the future of British racing, or grant the sport the exemption it needs. Safeguarding racing means preserving a national asset that communities depend on and generations cherish.”