11 March, 2020 | By Magnus Frejd |
British horse racing has received a boost from the European Commission, which on Friday gave full approval on the UK government’s reforms of the sport’s central funding system.
UK activities minister Tracey Crouch thinks the new levy will make sure gambling reforms pay a fair return to aid horse racing, but the bookies argue they already support it through sponsorship deals.
All bookmakers will be required to pay a ten percent levy on all gross profits derived from betting on British horse racing above a $500,000 ($640,000) threshold under the new system.
Under the previous system, which has been doing existence since 1961, only betting firms based in the UK had been required to contribute to funding, but now the levy will affect all companies that offer bets on British racing, including including on- and off-course bookmakers, betting exchanges and spread betting organizations.
The majority that is vast of websites, also those owned by British household-name brands like Ladbrokes and William Hill, are based overseas.
‘This move will assist secure the future of horse racing in Britain by making certain that gambling businesses pay a fair go back to support the activity,’ said sports minister Tracey Crouch, whose department is behind the reforms.
‘Horse racing includes a strong heritage in this country, employing thousands of people and it is enjoyed by many nearly every time of the year. This approach that is new the Horserace