Financial boost for horseracing
2 May 2014 04:22 PM
Horseracing industry to
receive remaining share of Tote sale receipts
The Minister responsible for
horseracing, Helen Grant has today announced in a Written Ministerial Statement
to Parliament that the Government will be transferring the full outstanding
balance of horseracing’s 50% share (£49.9m) to the Racing
Foundation following the completion of the sale of the Horserace Totaliser
Board (the Tote) to Betfred. An additional £1.8m will be transferred
during 2014/15 to the British Horseracing Authority’s (BHA) Grant Scheme
after which the scheme will be wound up.
An agreement for the Government
to sell the Tote to the gambling operator was reached in June 2011. At the time
of that agreement, the Government committed to share the sale proceeds 50/50
between the horseracing industry and the tax payer. To date £30m of Tote
proceeds have already been paid to Racing, with most of that money going to the
Racing Foundation, an organisation established to invest the sale proceeds into
the sport of horseracing and the thoroughbred breeding
industry.
Helen Grant
said:
This represents the last chapter
of the Government’s involvement in the Tote and I would like to place on
record my thanks to all those involved in the sale process. The decision to
sell the Tote was always about getting a good deal for both the taxpayer and
the sport. The industry is a much loved business and the repayments will ensure
that horseracing continues to thrive for generations to come.
A British Horseracing Authority
spokesperson said:
The British Racing industry has
made clear since the sale of the Tote in summer 2011 that it wanted to use its
share of the net proceeds from the sale to create a meaningful long-term legacy
for the sport.
Today’s announcement that
Racing shall receive all of its remaining share of the net proceeds from the
sale by the end of the 2014-15 Financial Year provides the industry with the
ability to maximise this legacy.
We would like to thank the
Department for Culture, Media and Sport, and particularly Helen Grant MP, for
their efforts to ensure the release of these net proceeds as swiftly as
possible, which will be of great benefit for our industry for many years to
come.
Further
information
British Horseracing
Authority
Racing
Foundation