Horse Betting in the UK 2025 Update: Pressure, Protest, and Turning Points

The world of horse betting in the UK is at a critical juncture. Long a pillar of British sporting, rural, and economic life, the industry is now grappling with falling betting turnover, regulatory shifts, proposed tax changes, and deep concern from those whose livelihoods depend on it. The first half of 2025 has made clear that business as usual may no longer suffice. In this article, I examine the latest data, interviews with industry figures, and what these changes mean for the future of horse racing and its betting ecosystem.

Recent Data & Trends (2024-25)

Betting Turnover Decline

• First quarter 2025: British horseracing saw a 9% drop in betting turnover compared to the same period in 2024.  

• On “core fixtures” (more standard, less premium races), average turnover per race fell by about 14.4%, while at “Premier fixtures” turnover was unchanged. This suggests that high-staking punters are pulling back or perhaps migrating to unlicensed or offshore operators, while recreational bettors are still active at big-profile meets.  

Horserace Betting Levy

• The Horserace Betting Levy Board (HBLB) is expecting a levy yield of around £108 million for the year ending 31 March 2025. This would be a record high since the reforms of 2017-18, and slightly above the prior year’s figure of about £105 million.  

• However, that comes against a backdrop of falling turnover: average turnover per race is down ≈ 8% on 2023/24, ≈ 15% on 2022/23, and ≈ 19% on 2021/22.  

Remote Betting, Customer Profile, and Black Market Concerns

• Reports indicate that higher-staking punters (those placing large bets) are being impacted by affordability checks introduced by bookmakers under regulatory pressure. Some are reportedly moving to unlicensed platforms to avoid these checks.  

• Meanwhile, there is some growth among recreational bettors, especially around higher profile races. But their activity has not yet made up for the decline in larger bets.  

Attendance and Horse Population

• Racecourse attendance fell slightly: in Q1 2025 attendances were down from ~682,385 in Q1 2024 to ~666,069. But some of this drop is attributed to calendar effects (e.g. Easter falling in different quarters) rather than a collapse in public interest.  

• The horse population is also declining slightly: as of 31 March 2025, there were approximately 15,070 horses in training, compared to ~15,359 a year earlier (a ~1.9% decline).  

Key Developments & Statements from Industry

“Axe the Racing Tax” & Strike Action

One of the major flashpoints in 2025 has been the proposal by the UK government to consolidate online gambling duty rates. The racing industry fears that this could lead to:

• Raising the current 15% duty on horse racing betting to something closer to 21%, aligning it with other forms of gambling (such as games of chance).  

• The British Horseracing Authority (BHA) has warned this could cost the industry tens of millions of pounds annually, with possible job losses.  

In response, the industry organized an unprecedented one-day strike on 10 September 2025. Race meetings at Carlisle, Uttoxeter, Lingfield, and Kempton were canceled or rescheduled. It marked the first time British horse racing has voluntarily refused to race in modern history in protest of tax policy.  

What People Are Saying

• Richard Wayman, BHA Director of Racing, in relation to the 9% drop in turnover, said the data suggests “some of the larger higher-staking customers either betting less or moving to unlicensed operators… More encouragingly, we are seeing growth in the number of recreational punters betting on racing.”  

• Anne Lambert (Interim Chair, HBLB) expressed cautious optimism: the higher levy yield provides reassurance for funding decisions for 2026, including increases that have already been agreed.  

• Trainers, jockeys, racecourse operators, and many in the horse ownership community have voiced concerns. In particular, the proposed tax changes are seen by many as “existential threats” that could lead to reduced prize money, fewer races, or even closures/deeper financial stress for smaller operations.  

Implications: What’s at Stake

Financial Health & Prize Money

The decline in betting turnover, especially from high-value bettors, has direct effects on how much money flows back into the sport: prize money, maintenance of racecourses, welfare, breeding, etc. If turnover continues to fall or shifts away from regulated sectors, these flows shrink.

Employment & Rural Economies

Horse racing supports many jobs beyond jockeys and trainers: stable staff, breeders, vets, racecourse staff, hospitality, transport, infrastructure. The BHA warns that tax increases could put many of those jobs at risk.  

Rural and regional economies are particularly connected with racing: racecourses bring tourism, local supply chains, etc.

Regulatory Pressure vs Unintended Consequences

• Affordability checks, intended to protect vulnerable gamblers, appear to have side effects: pushing some high-stakes bettors out of the regulated system, perhaps to unlicensed operators. That means those bettors may lose consumer protection, and the sport loses both levy income and transparency.  

• Proposed duty harmonization could reduce the relative competitiveness or attractiveness of regulated operators, especially if they cannot absorb the increased tax burden or pass it on in ways that punters accept.

Public Perception & Integrity

Public concern over gambling harm, animal welfare (horse safety, veterinary standards), and fairness is rising. Any scandals, animal injuries or deaths, or perceptions of unfairness (e.g. insider betting, lack of data transparency) can intensify pressure for regulation or restrictions. The Grand National in 2025, for example, saw the death of a horse, which renewed media scrutiny and public debate on equine welfare.  

What the Future May Hold

Scenarios

Tax increases pass as proposed

If the government imposes higher gambling/online-duty rates (e.g. moving horse betting into the same duty band as other gambling), then margins for bookmakers shrink. Operators may reduce promotions or absorb some costs, but more likely they will pass some burden to bettors. The sport could see reduced levy yield if turnover falls further, compounding financial stress.

Modifications/Compromise

There could be negotiated adjustments: for example, applying higher rates only to certain kinds of betting, or preserving some favorable rates for racing, or introducing phased changes. Possibly improved support or subsidies for smaller racecourses, or costs borne by government to maintain the industry’s viability.

Regulation tightening with unintended migration

Stronger affordability checks, more rigorous identification and limiting, etc., risk pushing bettors to unregulated markets, where prize monitoring, integrity, welfare oversight, or levy contributions are weak or non-existent.

Innovation & New Revenue Streams

To offset pressures, racing may increase income from non-betting sources: media rights; streaming; hospitality; sponsorship; data monetization; international audiences. Also, more creative betting products that comply with regulation but appeal to recreational bettors.

What Stakeholders Need

• Transparency: The industry and regulators will need data to trace where turnover is falling, what types of bettors are leaving, what segments are growing.

• Proportionate policy: Tax or duty regimes that consider the delicate balance: preserving the financial base of the sport, while ensuring gambling harm is mitigated.

• Protecting integrity and welfare: To maintain public licence to operate, especially with increased attention on animal welfare and fair play.

Recent Interviews & Voices: On the Ground

Below are paraphrased or quoted views from key figures in the racing world:

• From Richard Wayman (BHA Director of Racing): He has repeatedly stressed that the drop in turnover is most acute among large-stake bettors. While recreational punters remain, they don’t offset the losses in percentage terms. He considers the financial pressure significant and said betting performance hasn’t been helped by race results or form over Q1 2025.  

• From Anne Lambert (HBLB Interim Chair): Despite challenges, the record levy yield is a silver lining. She expressed that this provides some stability for decision-making around prize money and investing in racing infrastructure. But she also warned that rising costs and falling participation in betting could reduce future yields.  

• From racecourse operators and owners (collective statements during the strike / tax protest): They warn that the rising tax could lead to fewer race meetings or cuts to prize money, which would disproportionately affect smaller courses and lesser-known races. Some claim that leaving duties unchanged or increasing them modestly is essential to preserve the long tail of the sport. Trainers and jockeys echoed fears of job losses.  

• From owners / punters: There is concern over the rising cost of ownership. One article quotes an owner saying that even a horse winning several times in a season struggles to “break even” once fees, training, transport, vet bills are all counted—especially when prize money is squeezed.  

Conclusion

In mid-2025, the UK horse betting industry finds itself at a pressure point. Long-standing trends — falling high-stake turnover, increased regulatory and compliance costs, competition from unlicensed operators — are colliding with proposed tax changes that many believe could reshape the financial landscape fundamentally.

Yet this is not necessarily a moment of collapse but one of inflection. The industry is mobilising: protests, strikes, lobbying; stakeholders are calling for policy that balances revenue needs with the fragile economics of racing; there is growing public awareness of the stakes (literally and figuratively) in preserving the sport.

What happens over the next few months — how the government responds to the “Axe the Racing Tax” campaign; how operators adapt to regulations; how bettors behave (do they shift to black-market or reduce activity) — will likely decide whether horse racing emerges from this era with stable footing or under greater strain.

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