Funding of racing in Northern Ireland
SIR,
Having read the interview with Mr Jim Nicholson in last week’s paper (October 24th, pages A6-7) I would suggest that any interested parties should take time to read the consultation paper and make up their own minds about how this process should move forward, and not be influenced by yet another very one-sided and biased view which was projected from the article written by Daragh Ó Conchúir.
The consultation paper states that the charge was introduced in 1961 to “offset the decline in raceday revenue following the introduction of legislation which meant that people wishing to place a bet on a horse race no longer needed to attend the racecourse”.
At this moment in time, there are many betting platforms which can provide this service to the punter. Internet bookmakers, betting exchanges, Tote Ireland and betting shops all currently use racing in Northern Ireland as a product and derive revenues directly from the race meetings run in this jurisdiction.
By the end of 2015, betting exchanges will have turned over £100 million on the 22 meetings run in Northern Ireland. During the same period, Tote Ireland’s total aggregate will exceed €2 million.
Figures for internet bookmakers are not available and I would estimate that the 325 betting shops in Northern Ireland would turn over approximately £3 million per annum on 19 of the 22 meetings for which the licensed premises are open.
Despite these figures, the betting shop operators continue to be the only direct contributors in Northern Ireland and yet surprisingly are the subject of direct and continual criticism from the racecourses and Horse Racing Ireland.
I believe that the bookmakers are paying a fair price and each racecourse in Northern Ireland currently benefits to the amount of £561.50 per shop, per annum. Despite the claims made, this equates favourably with figures in the Republic.
Each shop in the Republic pays 1% of its total turnover to the Government. This figure is misleading and does not reflect the true interest in the product. Racing is currently benefiting from the turnover on all sports and not just horse racing itself.
The average shop contribution is €18,000 or £13,300. This amount needs to be divided among the 24 racecourses in the jurisdiction which equates to £555 per racecourse.
In Britain, however, the annual levy figure of £6,459 has to be divided among the 55 racecourses, leaving each to benefit to the tune of £117.
On top of these figures, each shop is paying in excess of £30,000 per annum for data and live pictures, from which the racecourses are generously rewarded also.
Mr Nicholson, who is not only a member of the HRI board but is also chairman of Tote Ireland, states “We’re just asking for the bookmakers to be fair and pay what’s a reasonable amount. Not a ridiculous amount, just a fair and equitable amount to support the industry.”
These remarks were re-iterated by HRI chief executive Brian Kavanagh in an interview on Radio Ulster last week. Neither, however, alluded to the responsibilities of the betting exchanges, internet bookmakers or Tote Ireland when providing a solution to the current impasse.
I believe that it is highly hypocritical of HRI and its board members to criticise the contribution from bookmakers when a subsidiary of HRI itself pays nothing. As stated above, Tote Ireland has an annual turnover of €2 million in Northern Ireland and yet contributes nothing towards the bottom line of each racecourse.
We are told that Tote Ireland is “now a very successful model”. It’s not surprising that Tote Ireland are successful when it is not required to pay a pitch fee and is not required to sign up to the ‘payment in absence’ scheme unlike the on-course bookmakers against whom they compete.
They also have a betting monopoly in corporate areas at Down Royal and Downpatrick, ironically the funding for which was provided by the Northern Ireland Horse Racing Fund.
I also disagree with Mr Nicholson with regards to the revenue which the two racecourses generate in the betting shops. It is not ‘old practice’ as is stated, but the truth. The interest in racing today is on a steep decline, and this is clearly shown in the percentage turnover which racing contributes compared to other sports.
Racing is losing its appeal and is getting less competitive by the day. Punchestown’s midweek fixture provided five odds-on chances and this is without a runner from the Willie Mullins stable.
If the racing industry is to succeed in Northern Ireland, it is quite clear that all betting platforms should contribute. I would be in favour of free on-course wi-fi, which would increase the level of betting and interest in the product, but only as long as all remote gamblers are brought into the tax net.
This debate is set to continue but I believe that the anti-bookmaking rhetoric which continually emanates from HRI and its board members is not only misleading but also very unkind to the only sector of the betting industry which currently contributes directly to racing in Northern Ireland. It seems that the big elephant in the corner is still being ignored with regards to this matter. - Your etc.,
BRIAN GRAHAM
Sean Graham Bookmakers.
Belfast.
Thanks to Naas
SIR,
My wife Anne and I would like to sincerely thank the racing community for its support at last Sunday’s racemeeting in Naas. In particular we would like to thank Naas manager Tom Ryan and John Osborne and his family who organised a fundraising collection and promotional interview in the parade ring.
We are fundraising for the Kidzcare Tanzania project, a registered charity which provides a home, nutrition, medical care, education and a future to some of the most vulnerable and needy children in the area around Dar Es Salaam. We work as volunteers at the children’s home from December to June next year.
A substantial amount of donations were received on Sunday. Many thanks to all for your generosity. – Yours etc.,
MICHAEL McELHONE,
Sligo.
Don’t belitte the ‘oul’ folk racing
SIR,
Having read Ruby Walsh’s interview in The Irish Field (October 10th) I am disappointed to read Ruby’s comments about the lack of excitement when “three oul’ lads” are clapping him in on a wet Thursday compared to the buzz of the Festivals.
Prior to the Celtic Tiger years, I was an owner, along with friends, of a few racehorses and we had the pleasure of having a number of winners ridden by Ruby, both as an amateur and professional. Where oh where has that nice Ruby gone!
Please do not take me up wrong. I am delighted for all Ruby’s success but he must realise that it is the ‘oul lads’ who now make up a large percentage of the dwindling attendances at the smaller Irish racemeetings. Just take the Galway September meeting this year as an example.
We, of a certain vintage, still enjoy our racing. It is good to see a talented group of young National Hunt jockeys coming up through the ranks. Hopefully some of them will get the chances that Ruby was fortunate enough to receive along the way.
This ‘oul one’ has enjoyed reading The Irish Field every Saturday for many decades and I still enjoy going to a small racemeeting on a wet Thursday to clap home a winner. - Yours etc.,
HELEN DILLON,
Claregalway,
Co Galway.
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