UK’s horse racing sector is in crisis after new UK Gambling Commission figures reveal a £3bn ($3.8bn) drop in online betting turnover over two years. [Image: Shutterstock.com]

The UK’s horse racing industry is in crisis, with new figures showing a £3bn ($3.8bn) drop in online turnover over the past two years, a 25% decrease. The sector relies heavily on revenue from betting to fund activities.

The UK Gambling Commission figures, adjusted for inflation, show that online racing turnover was £8.37bn ($10.6bn) for the 12-month period ended March 31. The figure would be nearly £11.5bn ($14.6bn) if it grew in line with inflation; that rate of decline is steeper than in other sports.

calls to cut back on strict new affordability checks

The Betting and Gaming Council (BGC) is leading calls to cut back on strict new affordability checks off the back of these figures. The racing industry is dealing with reduced media rights deals, increasing National Insurance rates, higher wages, and stricter regulation, which is straining operators.

Many people believe the new affordability checks are disproportionately impactful on racing as people tend to place bigger bets on races. The BGC believes urgent action is necessary to change the structure of these rules to “prevent unnecessary intrusion on customers who are not at risk of harm.”

The British Horseracing Association (BHA) will meet next week with the BGC to discuss ways to boost the sport’s turnover.