Horse Racing to go on Strike to Protect the Industry from a Potential Tax Hike

The Treasury plans to increase tax for bookmakers on fixed odds betting to align it with the online gaming (casinos and slots) current tax rate, which is around 21%. Such a proposal would hit racing particularly hard, to the tune of an estimated £330 million over the next five years. The British Horseracing Authority (BHA) has warned that as many as 2,752 jobs in the industry could be at risk should the plans go ahead.

The BHA has been lobbying the Government with their ‘Axe The Racing Tax’ campaign, which seeks to prevent a significant tax hike by showcasing the benefits of horseracing, with an estimated worth of around £4.1 billion to the UK economy.

As part of the movement, the sport will go on strike for the first time in its history. Instead of racing, jockeys, trainers and owners will head to Westminster to lobby MPs in hopes of showing the value the sport brings to the economy. The strike is on the eve of the four-day St Leger event in Doncaster, which Prime Minister Keir Starmer attended last year.

These are the horse racing events that have been rearranged to accommodate the one-day strike:

BHA chief executive Brant Dunshea said:

“It’s certainly not a decision we have taken lightly. The industry is united in saying that cost is a small price to pay for ensuring we send a clear and loud message to the Government.

“The sport believes racing betting, which sees punters study form and use their knowledge to place bets, should be treated differently to online games of chance which offer fixed-profit margins for operators. Racing is more than just a sport, it’s a cherished part of our culture and we are a major employer. We are different to online casinos.”

This is the first time the sport has voluntarily taken strike action in its long history, but only time will tell if the strike will have the desired response when the Government announces its Budget plans later this year.