Introduction to racing. Robin Mounsey, British Horseracing Authority Head of Media
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1 Introduction to racing Robin Mounsey, British Horseracing Authority Head of Media
2 What is racing? A sport? An industry? A betting product? A leisure pastime? It is ALL of these, and so much more
3 British racing
4 The numbers
5 THE NUMBERS The British racing industry World-leading in international Racing Second highest attended sport in Britain Ingrained in British sport, culture and society Significant economic impact: 3.45bn annual expenditure Direct, indirect and associated fulltime employment for tens of thousands Generates substantial inward investment in UK PLC Huge geographical breadth Racecourses, Training and Breeding yards, associated infrastructure Predominantly rural impact
6 THE NUMBERS British racing by numbers Britain s second largest sport by jobs, revenues and attendances Record prize Money of 137m in 2016 Betting turnover of 11bn annually 5.98m attendees at race meetings in of the top 10 highest attended, annually held sporting events Most broadcast sport on free-to-air television ITV deal through to Royal Ascot 4 Cheltenham 10 Epsom Derby
7 THE NUMBERS % c h a n g e Since Foal crop down 21% Horses in Training down 9% Runners down 4% Sole ownership down 17% - Lowest ROI of any major racing jurisdiction at 27p in BUT. Fixtures up 5% Number of races up 13% -25
8 The structure of British racing
9 The industry (structure?) INDUSTRY STRUCTURE
10 INDUSTRY STRUCTURE The industry structure Funding Governance and Regulation Promotion / Commercial British Horseracing Administration Horsemen Racecourses
11 INDUSTRY STRUCTURE Governance and regulation British Horseracing Authority A merging of the core functions of British Horseracing Board (Governance) + Horseracing Regulatory Authority (Regulation) (The Jockey Club) - Commercial activity Formed in 2007 Chairman Steve Harman 12 strong Board of Directors Chief Executive Nick Rust Supported by team of Executive Directors covering broad range of BHA s responsibilities
12 INDUSTRY STRUCTURE The BHA s responsibilities Licensing Regulating racecourses Rules compliance Fixture list and race planning Handicapping Racing administration Raceday operations and regulation International liaison and guardianship of the Pattern and Listed race programme Medical services Leadership of equine welfare Industry careers marketing, Industry recruitment, training and retention Participant health and welfare
13 INDUSTRY STRUCTURE The BHA s responsibilities Regulation and Governance
14 INDUSTRY STRUCTURE The BHA s responsibilities Health, development and growth of the sport
15 INDUSTRY STRUCTURE The BHA s responsibilities Health and welfare of the sport s horses and people
16 BHA strategic objectives INDUSTRY STRUCTURE
17 INDUSTRY STRUCTURE Administration - Weatherbys Founded in 1770 Based in Wellingborough Responsibility for the Stud Book Administers Racing under BHA contract with roles including: Race Registrations Publishing Race Programme Generating pre-race information for racecards Financial services
18 INDUSTRY STRUCTURE Racecourses EXCLUDING TOWCESTER Name Title 14 Courses Name Title 16 Courses Independent Racecourses (Large and Small) Racecourse Groups 60 British Racecourses
19 INDUSTRY STRUCTURE Horsemen Horsemen s Group NASS NTF ROA TBA PJA Owners Trainers Jockeys Stable Staff Breeders
20 INDUSTRY STRUCTURE Members agreement MEMBERS AGREEMENT MEMBERS COMMITTEE leading the industry
21 INDUSTRY STRUCTURE Central promotion Great British Racing Name Title Name Title Also part-funded by BHA and HBLB Name Title BHA an observer at Board Meetings Racing Enterprises Ltd ses Ltd
22 The funding of British racing
23 Funding Racing s cashflow KEY ISSUES LEVY REPLACEMENT
24 KEY ISSUES LEVY REPLACEMENT Funding HBLB and the Levy Horserace Betting Levy established in 1961: The Levy is paid by bookmakers for the purposes of aiding the horseracing and equine sector; it recognises the mutual interest racing and betting share in a thriving racing industry. Principle of a return from betting to racing replicated internationally Administered currently by Horserace Betting Levy Board
25 KEY ISSUES LEVY REPLACEMENT 140 Funding Recent Levy yields m Levy Yield Additional Income
26 KEY ISSUES LEVY REPLACEMENT Levy replacement This move will help secure the future of horseracing in Britain by making sure gambling firms pay a fair return to support the sport. Horseracing has a strong heritage in this country, employing thousands of people and is enjoyed by many almost every day of the year. This new approach to the Horserace Betting Levy will sustain and develop the sport. Tracey Crouch MP, Minister for Sport, 14 January 2017 Announcement follows several years of concerted lobbying by British racing and three consultation processes From 25 April, all betting operators are paying 10% of gross profit on British racing back to the sport = 30 million + uplift in Levy funding HBLB to be replaced in early 2018 Gambling Commission to collect Levy and new, tripartite Racing Authority to distribute funds
27 KEY ISSUES LEVY REPLACEMENT Levy replacement Prize money in particular grass roots Integrity Recruitment and retention Welfare
28 Key issues facing British racing
29 KEY ISSUES BREXIT Brexit Both opportunities and threats presented to British racing like any industry In contact with Department for Exiting the European Union Key areas: Free movement of horses Free movement of people Trading relationship with Republic of Ireland
30 KEY ISSUES EQUINE WELFARE Equine welfare c.45% (and three-quarters of those to express a view) agree that those who look after racehorses put welfare first c.15% agree that horseracing should be banned outright We have to keep working to raise awareness of all we are doing and how well our horses are looked after. Simon Bazalgette, Chief Executive, The Jockey Club Did you know? British Racing has invested, via the Levy Board, 32 million since 2000 in Veterinary Research and Education There are over 11,500 former racehorses registered with Retraining of Racehorses as active in other equine disciplines including Polo, Showing, Dressage and Eventing
31
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