'We wouldn't be here without the racecourse - it's as big as that, it really is'

This time last year, Keir Starmer was a guest of honour at Doncaster, accompanying his wife on a visit to her hometown track on St Leger day.

Twelve months on, the embattled prime minister and his chancellor of the exchequer Rachel Reeves have racing worried about what could happen if they go ahead with a proposal to increase betting duty.

Independent modelling commissioned by the BHA forecast racing could lose at least £66 million a year in income if the tax rate on betting were harmonised with the 21 per cent levied currently on online games of chance.

That will not only damage the sport but also have a knock-on effect on the wider economy, which stands to lose out on revenue generated by racing.

With the Leger meeting due to start on Thursday, the day after a blank 'strike' day called to draw attention to the danger of the racing tax, the Racing Post assessed the economic impact Doncaster has on the city and the local area; and what the neighbours stand to lose.

• Racing set to renew battle over government's tax proposals as MPs return to parliament before autumn budget 

The view from the course

Rachel Harwood has been executive director at Doncaster since 2020 and has no doubt about the course’s importance to the city,

"Next year is the 250th anniversary of the St Leger and we are essentially the anchor tenant of the city,” she said. "If you ask people around Britain and around the world about Doncaster it's famous for Romans, racing and railways. Most people will have heard of Doncaster because of racing.”

Prime minister Keir Starmer was at Doncaster last year - what does his government have in store for the course and the city this autumn? Credit: Edward Whitaker (racingpost.com/photos)

The site stages numerous non-sporting events, from antiques and food fairs to a tattoo convention, but Harwood stressed: "Racing is at our heart, our core business. There is the sales company and the National Horseracing College so racing is hugely important to the city's whole eco-system.

"Before Doncaster, I was at Durham County Cricket Club. That hosted international cricket, which can be likened to the St Leger festival in the economic benefit it brings. A Test match would deliver 30,000 to 40,000 people to Chester Le Street and we will bring in 50,000 to 60,000 spectators next week, plus owners, trainers and jockeys.”

Harwood also pointed to the benefit the course provides as an employer of “huge amounts of local people” and said: “We have 130 staff day to day and we'll have 1,500 working next week. Libby Scruton, our longest-serving employee, will be working on her 53rd Leger. All her family have worked here at some point and her grandchildren work for us now. 

"We also work with a lot of local companies. Quite a few Doncaster plumbers, electricians and painter/decorators work on site supporting the Leger."

The academic verdict  

Racing was judged to have contributed £300.2m to the Yorkshire economy in a wide-ranging study carried out in 2019.

Go Racing in Yorkshire wanted to establish the economic importance of the industry to the county and commissioned the Centre for Regional Economic and Social Research at Sheffield Hallam University to estimate its economic and social impact, following up a similar study ten years earlier.

It came up with the headline figure in the latest study after analysing direct and secondary spending on and off course and found that Doncaster was responsible for a quarter of that, contributing £40.4m of revenue, off-course expenditure and secondary expenditure.

What the business community says

Jade Dyer is the chief operating officer of the Doncaster Chamber of Commerce and believes the racecourse is “a hugely important asset to the city”.

She said: “It not only brings national and international attention to Doncaster, particularly during the St Leger festival, but it also underpins our identity as a city with a rich sporting and cultural heritage.

Doncaster racecourse: "A hugely important asset to the city"Credit: John Grossick (racingpost.com/photos)

“The racecourse is a flagship venue that plays a central role in attracting visitors, businesses, and investment to Doncaster."

Dyer pointed to a significant impact on local businesses, particularly during the Leger meeting, and said: “We see many businesses in our membership reporting that the racing season provides them with one of their busiest trading periods of the year.

"Hospitality and leisure are the most immediately affected – hotels, restaurants, bars, and taxis all experience a surge in custom. However, the impact extends further, to local shops, suppliers, event services, and even professional services who see increased networking and corporate hospitality opportunities linked to the races.

“Racegoers tend to spend across multiple sectors — from dining out and staying in hotels, to shopping locally and enjoying Doncaster’s nightlife. Corporate hospitality also brings in business visitors who invest in the local economy. Our members consistently tell us racegoers contribute significantly to their turnover during race weeks."

Asked how to quantify that impact, she said: "While precise figures vary from year to year, independent studies and economic assessments have consistently shown the St Leger festival injects millions of pounds into the local economy. The chamber’s members tell us that this period is critical for their annual performance and helps sustain jobs and business growth locally."

The lack of racegoers during the pandemic shutdown and then when racing resumed behind closed doors highlighted the course’s beneficial effect.

“Without the influx of visitors, the economic ripple effect was lost,” Dyer said. “Businesses, particularly in hospitality and leisure, reported sharp declines in revenue. It was a stark reminder the racecourse is not just about sport – it is a key driver of economic activity in the city."

Dyer also pointed to the importance of the racecourse as a major local employer and said: “From event staff and hospitality teams to contractors and suppliers, it provides opportunities for hundreds of people. It is also a source of seasonal and flexible employment, which is particularly important for younger workers and those looking to gain experience in the events and hospitality industry."

What they say in the hotels

Simon Longworth is managing director of the Regent Hotel and said starkly: "We wouldn't be here without the racecourse, without a doubt. It's as big as that.

"We're celebrating 90 years of the family business this year and the St Leger meeting is a key part of our calendar. We look forward to the races more than anything. They really help us through the difficult summers.

"We've got guys who've been staying here 25 years-plus and every year when they check out on the Sunday, they book for the following year.”

The Regent makes a feature of the meeting and Longworth said: "We're on Regents Square and the council allows us to put a festival on for the Thursday, Friday and Saturday of the Leger meeting. We do a party in the park with live entertainment, food and drink — it's a big expense and we certainly wouldn't be doing that if nobody was here.”

The Regent Hotel: "We do a party in the park with live entertainment, food and drink"

But it is not just the Leger meeting that brings good trade, as Longworth said: "The course has music nights four or five times a year now and it's exactly the same. They fill the hotels in Doncaster and it's brilliant how they're promoting the city so well.

"We get people in the bar and they're so social, they talk about the winners and the ones that got away and you can see them all interacting with other people who've been at the races. They've all come because they want to enjoy the racing and it's great for the city and fabulous for us."

The Mount Pleasant Hotel is five miles outside Doncaster but general manager Richard Tyas said: “It spreads as far as us. I've been here 20 years and the St Leger affects the volume of guests at the hotel tremendously, as it does the whole city.

“It is not quite as high as it was but I think that's down to corporate businesses not treating everybody as much as they used to and it still fills us for three days.”

Tyas is worried about the imposition of any extra tax on betting and said: “It would have a detrimental effect because people will still want to place a bet but they won't place as many or they may spend less on a hotel or on food and drink.

“People have only got so much to spend so they'll choose where it goes. It's not just about the racing industry, it would have a knock-on effect on what people are prepared to spend.”

The view of pubs and restaurants

Racegoers’ determination to enjoy their whole day is hugely beneficial to local bars and eateries, according to Joshua J Wilsdon who owns The Salutation pub and Thai restaurant.

“It’s absolutely incredible,” he said. “Racedays boost our trade massively. We’re maybe a ten-minute walk from the course, on the way into town, and it’s almost become a tradition for people going racing to stop here before or after. And a lot of guys who work on the course come for drinks afterwards.

The Salutation is very popular with racegoers

“It’s throughout the year; even in midweek we get a full restaurant on the back of racing. When people go to the races they're going out for the day. They’re going to make sure they enjoy the full day to the max. 

“If the racecourse wasn’t in Doncaster, a lot of pubs in town probably wouldn’t be on the radar. If it went, we’d even struggle. It brings people to the town.”

With so many racegoers coming to Doncaster by train, the impact starts at the station, where the Draughtsman Alehouse on platform 3B is a popular first stop.

Founder Russ Thompson said: "We close at 7pm on a Saturday so we tend to get racegoers as they come into Doncaster for a meeting, they’re in good spirits and we do see an upturn in passing trade.

“We also have a lot of regular people who are on their way to the races and know where we are and what we're about.

"The racecourse is something that Doncaster has got to be proud of. Along with the railway station, it's something the city is known for worldwide."

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