Racecourse Director: Any Tax Hike Will be ‘Absolutely Detrimental’ to UK Horse Racing

The war of words continues to escalate as potential tax hikes loom for the beleaguered British horse racing industry.

“Any tax increase on horse racing would be absolutely detrimental to an industry that’s really struggling at the moment,” Plumpton Racecourse director Thomas Savill said. “With less investment there’ll be less owners and, as a result, less horses, thereby making the sport less competitive.”

The current 15% tax on online horse racing could increase to 21% in November’s budget, “thereby bringing the sport in line with internet gambling and casinos.”

The British Horseracing Authority (BHA) claims the industry “could lose £330m over five years as a result” of the new tax, along with thousands of job losses in the first year.

Savill suggested that the UK government focus on the “pretty much pure profit” world of online casinos to help raise revenue.

Gov’t Official Refutes Expected Rise in Taxes on UK Horse Racing

Exchequer Secretary to the Treasury, Dan Tomlinson noted, the “chancellor has been clear that speculation on tax rises is not only inaccurate but also irresponsible.”

Tomlinson added, “We have not announced an increase in the tax on horserace betting, and racecourse betting currently gets a 100% tax break, which we have no plans to change. Horseracing is part of our cultural fabric, that’s why it’s the only sector that benefits from a government-mandated levy.”

The BHA made good on its promise to strike on September 10 when all horse racing in the UK was canceled. The BHA’s #AxeTheRacingTax petition now has over 12,600 signatures as of this publication.

When calling the strike, Brant Dunshea, Chief Executive at the BHA, said: “British Racing is already in a precarious financial position and research has shown that a tax rise on racing could be catastrophic for the sport and the thousands of jobs that rely on it in towns and communities across the country.”

Tomlinson noted that the UK government continues to collaborate with industry officials.

“Our wider gambling consultation is only about levelling the playing field and simplifying the system,” he said. “And we are working closely with the industry to understand any potential impacts.”

Amid all the tax turmoil, a UK man was recently arrested over allegations of race fixing. The 42-year-old was arrested in Hawkshaw, Bury, after a joint investigation by the police and the Gambling Commission. That followed last month’s news that a jockey was under investigation over race-fixing allegations.