‘We must not let this industry die’ - Kemi Badenoch hears racing's grave concerns about Treasury tax proposals

Leader of the opposition Kemi Badenoch MP has told senior figures from across racing that the Treasury must be made to appreciate the dangers of the 'racing tax' and the damage it could have on the sport's ability to thrive.

Badenoch was speaking at a racing policy conference at Tattersalls in Newmarket on Friday, when she was joined by shadow culture secretary Stuart Andrew and shadow sports minister Louie French to hear concerns about Treasury proposals to harmonise the rates of betting tax, which racing has forecast will lead to tens of millions of pounds in lost income.

The government is consulting on plans to harmonise different online gambling taxes into a single Remote Betting and Gaming Duty, which could result in the rate on betting rising from 15 per cent to the 21 per cent levied on online games of chance such as casino games and slots.

BHA modelling found that such a move would cost the sport £66 million in lost income as bookmakers looked to mitigate the rise by providing worse value odds, fewer offers and spending less on sponsorship. It has led to the launch of the 'Axe the Racing Tax' campaign to raise awareness of the potential for significant damage.

Responding to a point made by six-time champion trainer John Gosden, Badenoch, who has led the Conservative Party since November 2024, said the Treasury was not making any distinction between the risks inherent in different types of gambling.

"We need the Treasury to do more thinking," she said. "The most important thing is to ensure that horseracing stays here, it continues to thrive here, that we are the international beacon. We need to be the magnet for investment for growth. That's what's going to be most helpful and that's where the Treasury should start from."

Trainer Stuart Williams voiced fears about the Treasury's proposalsCredit: Edward Whitaker (racingpost.com/photos)

Trainer Stuart Williams said he feared racing would "crumble if we get lumped in with casinos". Badenoch responded by saying racing should talk about itself as being "special".

She said: "It is a sport, it is entertainment, it is a way of life, it is much more than just playing cards or playing the National Lottery on a phone. We need to make sure that the policy makers who are pushing these things understand that distinction. Right now they do not."

Badenoch said she was no racing expert, but could see the "sheer amount of investment that goes into these animals," adding: "You can see the love that people have for this industry so we must not let it die, we must not kill it."

The BHA is set to launch a lobbying campaign over the Treasury's plans and has urged everyone in racing to contact their local MP to ask them to appeal to the government to urgently rethink the proposals.

Badenoch said: "We can see what is happening, we know what the problem is. Why we are here is to tell you that we get it. What we need is for you to tell us what needs to happen next.

"We need business also to speak up, it can't just be us, we can't do this alone. When politicians talk and make these arguments it just sounds like we are doing politics. When you say, 'Look at what is happening to my staff, look at what is happening to my business' people take notice."

Read these next:

John Gosden calls on sport to lobby MPs over racing tax proposals to avoid 'devastation' for the industry 

Comment: The racing tax would be desperate grab for revenue that would come at the cost of one of Britain's last remaining global success stories 

BHA issues urgent call to arms to 'axe the racing tax' over fears of £66 million hit to the sport's finances 

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