British Racing And Betfair Sign ₤ 40m Commercial Deal
British Racing and Betfair indication ₤ 40m business offer
4 July 2012
Online betting exchange Betfair has actually signed a deal with British horse racing organisers, promising a minimum ₤ 40m of financing over the next five years.
It will give 10.75% of all incomes on the sport taken from its UK clients.
It comes after meetings with market bodies the British Horseracing Authority, the Racecourse Association and Horsemen's Group.
In return, the sport has pledged a minimum variety of components per year and to maximise wagering chances.
The contract will change Betfair's present annual voluntary Horserace Betting Levy payments.
Most major wagering companies, including Betfair, now run their online operations outside the UK and are accountable to pay tax and horserace levy only on service done within the country - rather than on their overall worldwide operations.
However, previously Betfair has actually willingly paid the UK horse racing levy as though it were still British-based.
The new contract will change this previous ad-hoc arrangement and will take effect from the 51st Levy Scheme, which covers the 2012-13 racing season.
"We are thrilled that we have had the ability to reach an arrangement with Betfair, one which represents a landmark for both the racing and betting industries," said Paul Bittar, president of the BHA.
"It brings numerous benefits, including substantial and increased guaranteed financing, along with importantly providing certainty for the sport in relation to Betfair's contribution."
The Horserace Betting Levy, a major source of funding to the sport, has actually been gradually diminishing for many years with the relocations offshore by betting firms.
And Mr Bittar said he hoped comparable arrangements to the Betfair one might now be concluded with other betting operators.
British Racing and Betfair indication ₤ 40m business offer
4 July 2012
Online betting exchange Betfair has actually signed a deal with British horse racing organisers, promising a minimum ₤ 40m of financing over the next five years.
It will give 10.75% of all incomes on the sport taken from its UK clients.
It comes after meetings with market bodies the British Horseracing Authority, the Racecourse Association and Horsemen's Group.
In return, the sport has pledged a minimum variety of components per year and to maximise wagering chances.
The contract will change Betfair's present annual voluntary Horserace Betting Levy payments.
Most major wagering companies, including Betfair, now run their online operations outside the UK and are accountable to pay tax and horserace levy only on service done within the country - rather than on their overall worldwide operations.
However, previously Betfair has actually willingly paid the UK horse racing levy as though it were still British-based.
The new contract will change this previous ad-hoc arrangement and will take effect from the 51st Levy Scheme, which covers the 2012-13 racing season.
"We are thrilled that we have had the ability to reach an arrangement with Betfair, one which represents a landmark for both the racing and betting industries," said Paul Bittar, president of the BHA.
"It brings numerous benefits, including substantial and increased guaranteed financing, along with importantly providing certainty for the sport in relation to Betfair's contribution."
The Horserace Betting Levy, a major source of funding to the sport, has actually been gradually diminishing for many years with the relocations offshore by betting firms.
And Mr Bittar said he hoped comparable arrangements to the Betfair one might now be concluded with other betting operators.