British Racing and Betfair indication ₤ 40m commercial bet9ja's welcome offer

4 July 2012

Online betting exchange Betfair has actually signed a deal with British horse racing organisers, promising a minimum ₤ 40m of funding over the next 5 years.

It will provide 10.75% of all profits on the sport taken from its UK customers.

It comes after meetings with market bodies the British Horseracing Authority, the Racecourse Association and Horsemen's Group.

In return, the sport has vowed a minimum number of fixtures annually and to maximise wagering opportunities.

the yohaig code contract will change Betfair's present annual voluntary Horserace Betting Levy payments.

Most major wagering companies, consisting of Betfair, now run their online operations outside the UK and are responsible to pay tax and horserace levy only on service done within the nation - rather than on their total international operations.

However, up until now Betfair has willingly paid the UK horse racing levy as though it were still British-based.

The new arrangement will replace this previous ad-hoc agreement and will work from the 51st Levy Scheme, which covers the 2012-13 racing season.

"We are pleased that we have actually had the ability to reach a contract with Betfair, one which represents a landmark for both the racing and betting industries," stated Paul Bittar, president of the BHA.

"It brings numerous advantages, consisting of substantial and increased ensured financing, as well as importantly offering certainty for the sport in relation to Betfair's contribution."

The Horserace Betting Levy, a significant source of moneying to the sport, has actually been gradually reducing for many years with the relocations offshore by wagering companies.

And Mr Bittar stated he hoped similar arrangements to the Betfair one could now be concluded with other betting operators.

Betfair's primary legal and regulative officer Martin Cruddace dubbed the bet9ja's welcome offer "historical" and likewise contacted other wagering firms to "adopt similar arrangements to assist ensure a strong, healthy and vibrant horseracing market in this promotion code nation".

British Horseracing