King’s racehorse coach warns there has ‘by no means been an even bigger menace to the business’ than proposed playing tax
The King and late Queen’s racehorse trainers have warned there has ‘never been a bigger threat’ to the racing industry than proposed betting tax rises at the Budget.
Nicky Henderson and William Haggas have urged the Chancellor to protect horse racing from punishing tax hikes as they argue that ‘racing isn’t just a sport’ but an historic part of British life.
Rachel Reeves is said to be plotting a raid on betting to fill a black hole in the public finances, with plans being worked up to increase taxes on slot machines and online gaming.
Left-wing MPs are urging the Chancellor to target gambling at the Budget and former prime minister Gordon Brown has backed a plan that would raise £3.2billion from the industry.
But some of Britain’s most renowned racehorse trainers – who have produced winners for the King and late Queen Elizabeth – have warned that drastic tax rises could ‘devastate our industry’.
Mr Henderson, who trained more than 60 winners for the late Queen and now trains horses for King Charles and Queen Camilla, said the prospect of tax hikes are ‘hugely concerning for all of us who work in this wonderful sport’.
He told the Mail: ‘I have spent my whole life in racing and there has never been as big a threat to an industry and sport in which we’ve been world leaders for hundreds of years.’
Nick Henderson, who trained more than 60 winners for the late Queen and now trains horses for King Charles and Queen Camilla, has warned there ‘has never been as big a threat’ to the racing industry
William Haggas, who gave the King a win at his first Royal Ascot after ascending to the throne with a horse bred by the late monarch, said the impact of tax hikes on racing ‘are potentially catastrophic’
Mr Henderson, who trained a horse for the late Queen that won on the weekend of the Platinum Jubilee and gave the King his first winner over jumps on Boxing Day 2022, has warned that the livelihoods of his staff and tens of thousands of others ‘would be put in danger’ if taxes are hiked.
‘We all appreciate that the Government faces tough choices at the Budget given the state of the public finances,’ he said.
‘But I know that everyone involved in racing would strongly urge them to avoid causing needless devastation to our industry.’
Mr Haggas, who gave the King a win at his first Royal Ascot after ascending to the throne with a horse bred by the late monarch, said the impact of tax hikes on racing ‘are potentially catastrophic’.
He said: ‘Racing isn’t just a sport, it’s the foundation of entire communities, and nowhere is that more evident than in Newmarket. If the industry were to suffer, the effects on the town would be profound…
‘Earlier this year, when Their Majesties the King and Queen visited, the sense of pride among local people was clear for all to see. It was a reminder of how central racing is to Newmarket’s identity, and how important it is that the sport thrives long into the future.’
He added: ‘Increasing tax on horserace betting will do nothing to address the Government’s economic problems. But it will devastate our industry.’
The late Queen Elizabeth, pictured meeting lady amateur jockeys at Beverley, wasa huge fan of horseracing
King Charles is said to be less interested in racing than his mother but inherited a number of horses from the late monarch that have won races
King Charles pictured at Royal Ascot in 2022 alongside Qeen Camilla
Treasury insiders are said to have concluded that a gambling tax rise is both justified and politically sellable to the electorate.
But the industry has been raising the alarm. In September racing was cancelled in Britain for the first time in history as jockeys and trainers went to Westminster to lobby against changes.
Modelling sent to officials shows that if gambling duty is raised from 15 per cent to 21 per cent it would cost the racing industry £66million pounds and see 2,700 jobs lost in the first year alone.
Any potential gambling tax rise package could focus on three areas – the Machine Games Duty (MGD), the Remote Gaming Duty (RGD) and the General Betting Duty (GBD).
MGD, which affects betting machines in shops, is set at 20 per cent whereas RGD, which applies to online casinos, is set at 21 per cent. GBD, which applies to betting on horse racing, is set at 15 per cent. Bets placed in-person at the races have, in effect, no duty but those placed on the horses in betting shops or online are subject to GBD.
Brant Dunshea, chief executive at the British Horseracing Authority, urged the Chancellor to ‘recognise the significant and important cultural asset that British Racing is to our both domestic and global economy’ and protect the industry from wider betting tax hikes.
He said: ‘Support British racing is our overarching message. It’s not just a sport, it’s a much-loved, cherished, centuries-old institution.’
A Treasury spokesman said: ‘Horseracing is part of the cultural fabric of the country, that’s why it’s the only sector that benefits from a government-mandated levy whilst betting at the races gets a 100 per cent tax break – which we have no plans to change.’
