Levy Stands Up

[Cav]

Despite…..

A – the amount of low grade racing
B – the amount of all weather racing
C – field sizes
D – too much racing
E – too much racing at the weekend
F – corruption/confidence
G – bookmakers who won’t lay meaningful bets
H – meetings attended by three men and a bookmaker
I – FOBT’s and other sports
J – not enough data
K – dwindling terrestrial audiences

etc.

The last three levy’s have yielded…..

13/14 – 78.5 million
12/13 – 74.8 million
11/12 – 74.9 million

up from 59.5 million in 10/11

The forecast is 80 million plus, for the next one, when the big four incentive payments kick in.

This year connections are racing for record prize money, some 120 million pounds.

So given so many problems, of which the aforementioned are probably just a few, and given that the levy is still largely funded by five pound SP punters with so many other markets to bet on these days, we’re still doing relatively okay…..

Or are we….? That doesn’t really seem to be the perception, it doesn’t seem to compute.

Is there something that I’m missing here?

Thoughts appreciated.

[wit]

judging by the table on page 17 of the current consultation paper on extending the levy, it seems largely down to the "voluntary payments" line, plus the rate increase since 11/12 from 10pc to 10.75pc.

consultation closes in 9 days – hurry, hurry with any representations! :

https://www.gov.uk/government/consultat … ementation

[cormack15]

Maybe Bittar has done better than we thought…

[wit]

in what way, Corm ?

Bittar arrived in Sep 2011.

Betfair had 3 months earlier already issued this June 2011 press release announcing 5 years of voluntary contributions to the levy:

http://corporate.betfair.com/media/pres … 6-14a.aspx

the table on page 17 of the government’s consultation paper says that most of the voluntary contributions to the levy are down to Betfair.

if one compares the 10/11 low point highlighted by Cav to the following year 11/12, it seems clear what’s happened:

(Levy years end on 31 March)

2010/11:
Statutory Levy: 59.5m
Levy rate: 10.0pc
Voluntary Payments 0.2m
Total Levy: 59.7m

2011/12:
Statutory Levy: 67.7m
Levy rate: 10.75pc
Voluntary Payments: 6.9m
Total Levy: 74.6m

The forecast 80m Total Levy for 14/15 envisages Statutory Levy still at 67.9m on a rate of 10.75pc, but the Voluntary Payments going up to 12.3m.

[cormack15]

Aha…so, maybe not then…

[ricky lake]

Voluntary payments are good…the much maligned Fred Done , has been paying more than originally outlined , when he bought the tote

Well done that man

[Author]

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