UK Government to consult on a racing right

maybe its time the SAF government take racing back? maybe when Pillay resigns the Nhra at the end of the year? hear he has political aspirations?

THE government said on Tuesday that it will consult on the introduction of a racing right as a new funding mechanism to replace the levy in the new year.

Although the news was not mentioned by chancellor George Osborne when he spoke in the House of Commons, it was contained within the Autumn Statement document.

It read: "The government will consult on the introduction of a racing right in early 2015 and will announce a decision after consultation."

A racing right - now known as a Horserace Betting Authorisation - has been racing's favoured option for replacing the levy. It will be a charge bookmakers pay for the right to take bets on British racing.

Steve Harman, chairman of the BHA, welcomed th news. “This is extremely positive news for British Racing, and all those connected with the sport," he said.

"We have a landmark opportunity to secure a modern, fair and sustainable funding mechanism, and generate future growth and more jobs in our industry, greater returns to our participants and a new partnership with the betting industry."

Matthew Hancock MP, whose constituency includes Newmarket, said: “I am delighted that today’s Autumn Statement included the racing right.

"I have been calling for a replacement for the levy for years and I wrote to the chancellor about the vital need for a fair and viable framework which will work for the long term.

"A racing right does exactly that and it will help enhance the already large contribution the racing industry makes to our economy, supporting major job creation too. This is fantastic news for the future of horseracing.”

A statement from the Association of British Bookmakers said: "We note the government has chosen to consult further on this, but we will wait for the details of the consultation, and respond in detail then."

Ladbrokes said they would play a full part in the consultation process "as it is essential racing and betting have a framework that enables us to maximise racing's potential".

Their statement added: "Given bookmakers already pay media and data rights along with the levy we will be interested in what, if any, protections against abuse of monopoly power will be included in the consultation document and what levers will ensure racing is incentivised to deliver a product that delivers to the modern betting customer."

THE TAB AND THE GOVERNMENT IN AUSTRALIA - HOW THEY DIVIDE THE PIE.


Racing NSW 2014 Strategic Plan says level playing field needed to deliver
Clinton Payne - 20 Nov 2014
Racing NSW says unless the state Government reduces its share of wagering revenue and brings parity with interstate competitors, the "downward trend" by way of "returns to the industry and to government will continue".

The dire warning was made in the executive summary of the 2014 Racing NSW Strategic Plan which is based around the government reducing its levy from racing's revenue to aid the state's racing administrators to give more back to participants.

The Strategic Plan highlighted the NSW racing industry receives $4.70 from every $100 bet on the totalisator while Victoria gets $7.90. The other states receive at least $1.97 more than NSW.

It's a similar case with TAB fixed odds betting. The Victorian racing industry receives $7.04 from every $100 bet while NSW's cut is $4. That figure is $1.66 lower than any other state in Australia.

Racing NSW says in its Strategic Plan, a "correction of the funding disadvantage" will see the increased funding used to enhance all sectors of the racing industry in NSW.

The plan is to deliver the following key measures:

·Further developing The Championships and a world class Sydney Autumn Racing Carnival and internationally attractive event;

·Further increasing minimum prizemoney levels throughout NSW;

·Increasing feature race prizemoney at all levels throughout the season;

·Reducing costs to owners;

·Developing Showcase race meetings in country NSW;

·Developing an integrated industry marketing and branding strategy;

·Improving workplace health and safety across the industry;

·Further boosting the investment in integrity, investigation and surveillance to strengthen public confidence in racing;

·Improving the viability of race clubs;

·Investing in the future workforce of the industry.

"The table below summarises the estimated cost of strategic initiatives identified in the plan which are proposed to be funded from monies generated by parity and other strategies to increase revenues," the executive summary of the 2014 Strategic Plan said.


Race category

Description

Proposed investment


The Championships and autumn

The staging and lead-up to The Championships including prizemoney, bonuses, marketing and management

$15,225,000


Premium Stakes racing

Increased prizemoney minimums for all Stakes races

$8,925,000


Metropolitan racing

Increased prizemoney minimums for Saturday, midweek and Public Holiday racing

$6,500,000


Provincial racing

Increased prizemoney minimums

$8,240,000


Country racing

Increased prizemoney minimums to TAB racing, country 'Showcase' race meetings

$16,080,000


Existing prizemoney shortfall

Prizemoney deficit to maintain existing investment from owners

$3,000,000


Nomination and acceptance fees

Elimination of Nomination & Acceptance Fees

$4,000,000


Jockeys ride fees

Increasing Jockey Ride Fees in line with Victoria

$660,000


Race clubs

Funds to meet operating expenditure

$6,000,000


Capital development

Infrastructure Investment Program at Racecourses across NSW

$5,000,000


Marketing program

Industry Marketing Program

$2,000,000


Traineeships and apprenticeships

Establish 100 Traineeships & Apprenticeships in high youth unemployment areas

$2,000,000


Integrity

In order to maintain highest level of racing integrity

$1,000,000


.

Total

$78,630,000

Racing NSW Releases Strategic Plan

The awaited release of the Racing NSW Strategic Plan has been hailed as a blueprint that will reinvigorate the NSW racing industry.

John Messara
John Messara Photo by Racing and Sports

Racing NSW chairman John Messara and chief executive Peter V’landys released the new Strategic Plan on Thursday.

The detailed 55-page document lays out the intentions, aspirations and the funding required to reach the goals Racing NSW has set for NSW racing for the next three years.


Messara said the projections are reliant on the NSW Government legislating for taxation parity to be applied to gross TAB wagering revenue in line with the rates that apply Victoria and other States.

“It is crucial for NSW that the industry succeeds as it makes an economic contribution of $1.2 billion annually and supports in the order of 50,000 jobs,” Messara said.

“This economic benefit is widely spread throughout NSW as the industry here holds more race meetings than any other State, and they are conducted across an expansive network of clubs serving communities in all regions.”

Racing NSW has made extensive submissions to the NSW Government seeking a new scale of taxation that it says will deliver more than $70 million in additional funding to the racing industry and drive the initiatives contained in the Strategic Plan.

The submissions are currently under consideration and may be adopted by the NSW Government in the near future now that Racing NSW has released the Strategic Plan in detail.

The Strategic Plan stresses that the current situation in NSW is unsustainable and is resulting in large and increasing losses to horse owners.

This creates a vicious downward spiral with reduced prizemoney producing larger owner losses, reducing the number and quality of horses racing and leads to a decline in wagering turnover which in turn reduces the revenue available to the racing industry as well as the Government.



The number of individual horses registered in NSW each year has been in steady decline with the number of registrations falling by 14% to 4,059 over the last six years.

This decline is adversely impacting on field sizes and will continue to do so unless it is stemmed.

The table below demonstrates the difference in TAB wagering taxation applied between States.

The initiatives outlined in this Strategic Plan are aimed at reversing the trend and include the elimination of nomination and acceptance fees for all races below black type level.

If the additional revenue is forthcoming from taxation parity Racing NSW has summarised the estimated cost of strategic initiatives identified in the Plan.

These include:

- $15.225 million to stage The Championships and autumn carnival

- Additional $8.9 million for Premium stakes races

- Additional $6.5 million for metropolitan prizemoney (minimum $100,000 per Saturday race; $55,000 on public holidays; $45,000 midweek)

- Additional $8.24 million for provincial prizemoney (minimum $30,000 per race)

- Additional $16 million for country prizemoney (minimum $20,000 per race)

- $6 million for race clubs to meet operating expenditure

- $5 million for racecourse infrastructure programs

- $2 million for an industry marketing program

- $2 million for the establishment of trainee and apprenticeship programs in high youth unemployment areas.

Summary of Strategic Plan Initiatives and Costings

• Reducing the deficit faced collectively by racehorse owners between prizemoney and training and racing costs, by further increasing prizemoney levels benefitting all participants including owners, trainers, jockeys and licensed stablehands

• Broadening the distribution of prizemoney to participants across NSW including enhancements to the BOBS scheme

• Reviewing Race Fields fees and determining the optimum level of fees that can be generated

• Further developing The Championships and a world class Sydney Autumn Racing Carnival that is compelling and attracts considerable international and interstate visitation at its climax

• Improving the quality of race broadcasts, presentation, quality and access to racing information and form

• Engagement of a broader audience through effective digital marketing and branding

• Developing an integrated industry marketing and branding strategy

• Setting race dates to maximise returns, improve the opportunities for participants outside the Metropolitan area and promote racing throughout NSW as a whole

• Reviewing the capital expenditure proposals for racing across NSW and broadening the base of capital expenditure for racing, training and customer facilities

• Improving workplace health and safety across the industry

• Improved regulatory and integrity regimes that build public confidence

• Improving the viability of race clubs

• Improving future workforce and human resources

More money to be spent on upgrading two tracks in OZ.....


Major Works For Randwick And Rosehill

Major improvements at Randwick and Rosehill are underway as the ATC enters a growth and investment phase following a recent profit announcement.

Some of the changes follow suggestions from ATC Members at two forums held on Saturdays recently at both racecourses, along with feedback from customers during the first 12 months of the redeveloped Royal Randwick’s return to full operation.

At Royal Randwick, early construction has started on a reversible escalator from the Level 1 seating deck to ground level at the front of the new grandstand to allow easier movement for owners and Members to the winner’s stall and weigh in area, as well as back to the betting ring and Longines Winning Owners Room.


Extra seating on level 1 outside of the restaurant areas will be made available to Members and ticket holders on race days and be accessible via the new escalator.

The Ballroom spaces on Level 2 will be opened for ATC Members on race days, where event spaces are not pre-sold, offering projector screens, wagering facilities and food and beverages, which will also open up further outdoor seating trackside on Level 2.

Television screens broadcasting races and displaying wagering information on Level 3 of the grandstand will be reviewed, to see if additional screens, or tablets such as Ipads, are needed in better viewing areas for Members and public spaces such as stadium style seating.

At Rosehill Gardens, the ATC will begin a major refurbishment of Members and public areas, spending a further $16 million of a one-off grant from the NSW Government.

Among the major works and improvements at Rosehill Gardens, some of which are to start in coming weeks, are:

• Major refurbishment of Members and public bar and restaurant areas, including the Winning Post restaurant and Champagne Bar in Members, and the Ascot Restaurant

• Enclosing the betting ring and moving it for Members and the general public further inside the JR Fleming Stand on the current level, with work to begin immediately after the Golden Slipper Festival.

• Opening up more lawn spaces for Members outside the Grand Pavilion and for the public around the Parade Ring, including extra seating and umbrella covering

• The construction of three new sand training tracks to replace existing cinders surfaces on two training tracks and a small warm-up track

Australian Turf Club Chief Executive Officer Darren Pearce said the Club’s Board and Executive had carefully taken time to listen to Members and the public before making plans and then starting work.

“We have always wanted to make sure that the bulk of the $24 million grant from the NSW Government for Rosehill Gardens was spent wisely, and for any improvements to last well into the future,’’ Mr Pearce said.

“At Royal Randwick we have again listened carefully to Members, owners, trainers and all of our customers as everyone has become accustomed to a facility which is still new.

“As we now continue to reduce legacy debt and improve the Club’s profitability, we can now enter a period of rewarding our Members and all of our customers with improved facilities.’’

Racing And Sports