Licensed Betting Operators
February 19th, 2008 | This post was written by Matt StockwellToday cricket, tennis and football put their case to the DCMS Select Committee asking for a share of betting profits to fight match fixing. On the face of it seemingly absurd. It is similar to the horseracing industry demanding a slice of virtual racing that Licensed Betting Operators put on (to avoid paying the Levy).
The Levy has two criteria racing’s needs and Licensed Betting Operators ability to pay. The Levy will soon be determined by Andy Burnham and whilst the Levy has not gone up over the last five years profits from the big Licensed Betting Operators certainly has. Further the number of races that the horseracing industry has put on has increased substantially. This should all point to Andy Burnham offering a bumper increase. Yet in all probability he will plump with the status quo.
The Licensed Betting Operators have put in for a massive reduction in the Levy because of Turf TV and the racing industry countered with a half hearted demand for more cash, a stalemate that has drawn in DCMS to make the determination.
Bookmakers were legalised to recycle some of their profits to horseracing so it can improve its product. Shouldn’t we encourage Licensed Betting Operators to do the same with other sports?
Horseracing is a unique sporting product that wholly relies on gambling. Clearly a ‘share of betting profits to fix match fixing’ is a thin end of the wedge but it is an idea that the Select Committee should not dismiss out of hand – although I do not hold out for any hope.
On the other hand some people believe the Levy to be an anachronism and instead racing should sell data and picture rights which would take the place of the Levy. In a few years this could easily become a viable alternative – in which case the sporting bodies now find themselves several years behind the curve.
Posts
