Sport united in tax harmonisation battle on Ayr's big day

The British Horseracing Authority and racing supporters have united against government plans to harmonise betting taxes with online gambling products, warning a 21% tax would damage racing finances. Ayr's three-day Gold Cup meeting highlighted the issue as racing groups warn that the levy used to fund the sport could be squeezed when grouped with slots and casino profits. The BHA estimates the changes would cost racing about £66 million a year and put up to 2,500 jobs at risk, with Scotland facing a £3.1 million annual hit and 136 jobs in jeopardy.

Jockeys staged strike action last week over the betting tax debate, and new BHA chairman Lord Charles Allen was in Westminster to press ministers. Ayr Racecourse's Jim Delahunt, head of PR and raceday presenter, said the industry has rarely been more united. "I've never seen the whole racing industry unite so together on one particular issue," he said. "Looking at it as an outsider and a former business graduate, I can see where they are coming from... But the problem that gives racing is that the bookmakers who basically supply their funding through the levy are taxed separately on their racing profits at 15%. Now if that's going to be lumped in with online casino and slot profits in taxing them all together at 21% then it doesn't take a genius to know that those funds that the bookmakers have to help support racing are going to be severely diminished." He added that the estimated hit of £66 million a year underscores the urgency to press HMRC to keep racing taxes separate and not bundled with gambling on chance. "We start shouting and clamouring that there’s a problem and we’re skint. But people turn around and say, 'Well, you’ve just paid £1m for a horse'." Delahunt warned the balancing act is delicate: racing must push its case without alienating bookmakers, which have long funded the sport.

Delahunt noted that the industry’s profile matters: "We have a huge profile and it’s a hugely important industry," he said. "As far as people at Ayr are concerned, we want to be part of that going forward. We want to see the racing tax kept separate and not harmonise with everything else." He also warned of knock-on effects, including a TV-series funding cut if bookmakers reduce support. "One arm has already said they are going to pull funding for a TV series that’s worth up to £1m," he said. "That’s a major blow." The group contends that the six weeks ahead are crucial; budget discussions in November could determine whether racing retains a separate levy or is swept into a broader regime.

The notes also point to the sport’s broader context—racing’s appeal as a spectator pursuit and its regional importance. Leading trainer John Gosden spoke at the QEII Centre about the issue last week, underscoring how racing remains a skilled form of betting that differs from pure chance. In Scotland, racing is fighting for a continued separate path, with Scottish Racing playing a key role in Parliament and Holyrood.

Racing’s two marquee meetings—the Ayr Gold Cup and the Scottish Grand National—highlight the event’s social and economic footprint, from hospitality to local employment. Ayr and other courses host racing year-round, aiming to balance tradition with a regulatory landscape that supporters say must protect the industry’s funding model.

The final week of November is the budget focal point, and racing leaders say they will not retreat from their call to keep the racing tax separate. The united front is expected to push for a compromise that preserves funding while acknowledging the government’s broader tax objectives.