Industry unites to protect £4bn sector from damaging fiscal policy
Racing Industry Launches ‘Axe the Tax’ Campaign
The British Horseracing Authority (BHA), backed by several key racing organisations, has launched a coordinated campaign against proposed tax increases on betting revenue, potentially to be introduced in the UK’s Autumn Budget 2025. Spearheaded under the slogan “Axe the Tax,” the campaign is a formal response to an ongoing consultation by HM Treasury regarding changes to gambling taxation policy.
The BHA’s formal submission to the Treasury was co-signed by prominent stakeholders including The Jockey Club, Arena Racing Company, the Racecourse Association, the Racehorse Owners Association, and the National Trainers Federation—marking a rare and unified front from the sport’s top-tier authorities.
Potential Economic Fallout: Up to £160M at Risk
At the heart of the BHA’s argument is a stark economic warning: under worst-case scenarios, the proposed hikes could cost British horseracing up to £160 million ($215 million) annually. Even moderate changes could result in a £66 million shortfall, leading to job losses, reduced investment in equine welfare, and severe implications for the economic ecosystems of rural and regional communities where horseracing is often a major employer.
Brant Dunshea, Acting CEO of the BHA, stated:
“Horseracing has a uniquely symbiotic relationship with betting. The Government must recognise this and ensure racing is treated differently from other forms of gambling.”
Historical Precedent and International Concerns
The BHA’s call for preferential tax treatment is not without precedent. Horseracing in the UK has historically received special consideration due to its role in national heritage and its structural reliance on betting for survival. The Horserace Betting Levy, for example, redirects a portion of bookmaker revenue back into the sport, helping fund prize money and infrastructure.
Moreover, data from the International Federation of Horseracing Authorities (IFHA) underscores growing challenges for legal operators: between 2021 and 2024, visits to illegal horseracing betting sites grew by 131%, while legal sites saw just 25% growth. The BHA warns that higher taxes could inadvertently push more bettors toward unregulated black market options, increasing the risk of problem gambling and undermining consumer protections.
Timing and Broader Policy Context
The proposed tax changes come at a sensitive time for the industry. The racing sector is already contending with affordability checks on bettors and a lack of levy reform, creating what the BHA calls a “perfect storm” of regulatory and fiscal pressure. With the Treasury consultation closing on 21 July 2025, the BHA is encouraging the public and industry stakeholders to contact MPs and join the lobbying effort.
A publicly shared letter template argues that racing should be considered a skills-based form of betting, distinct from high-stakes, fast-play games like online slots or roulette. Treating racing the same as these high-risk products, the BHA argues, is both economically damaging and socially irresponsible.
Outlook: Sector Braces for Crucial Decision
With over £4 billion contributed annually to the UK economy by the horseracing sector, the stakes are high. The upcoming decision by HM Treasury will not only impact the financial health of the sport, but may also shape the future direction of gambling regulation in the UK. For now, the racing industry stands united in its message: preserve the legacy, protect the livelihoods, and axe the tax.
