Cooperating bookies will get special designation
The largest racecourse regulators in the UK have joined forces in an effort to get a piece of bookmakers’ online operations.
According to SBC News, the groups, spearheaded by the British Horseracing Authority will look into “underfunding and loopholes” in the levy system. They will try to keep bookies from sponsoring race events, tracks and festivals if they don’t pony up a portion of online gaming revenues.
The BHA has been joined in the campaign by the Racecourse Association and the Horsemen’s Group, supported by Arena Racing Group and the Jockey Club. The BHA says the racing industry is losing £30 million (US$46 million) per year in contributions. Bookmaker subsidies for racing are expected to drop from £105 million in 2004-05 to £53 million by 2017, SBC reported.
“British racing offers world-class sport, gives enjoyment to millions of people a year, employs more than 85,000 people and contributes £3.4billion a year to the economy,” said Nick Rust, chief executive of the BHA. “But we are underfunded and loopholes in the Horserace Betting Levy system, allowing the majority of betting operators to make no contribution from profits made on British racing through their digital businesses. … We welcome the stance being taken.”
Firms that cooperate with the initiative would become UK Racing’s “authorized betting partners,” according to the plan. The title has already been granted to bookmakers 32Red, bet365 and Betfair.
Maggie Carver, chairwoman of the Racecourse Association, said the RCA and its members support the effort. “It is right that the relationship is based on a fair contribution being made by all betting operators, wherever they are based, towards the existing levy or any future funding model. The initiative being shown by ARC and Jockey Club racecourses is entirely consistent with these principles and has our support.”
