Speaking on Star Sports‘ #BettingPeople interview, legendary sports promoter Barry Hearn commented on the current state of horse racing, adding that he believes he could save the sport by reinstating a 2.5% tax on winning bet payouts.
“I could save horse racing – it’s very simple. I would instate the return of the betting tax immediately.” he said.
“In my mind, there isn’t a normal punter that would begrudge a 2.5% tax to their winnings, the sport employs so many people in this country and racing is a great spectacle. The people it would affect are the big punters that work on small margins, where losing that 2.5% would put them out of business, to them I’d say good riddance, because they aren’t contributing to the sport, they are only taking from it.
“I accept that the big punter gives something for someone ordinary to aspire to when betting, but aspiration should be for the jockeys, the trainers and the owners of the horse only, not for people looking to get something for nothing.
“Betting should be fun, and I wouldn’t want to encourage the bad side of gambling and addiction. I, like many others, love walking away with some of the bookmakers’ money in my pocket, but it should be a fun activity. The industry needs help and fast, the government could change it very quickly if they brought in that tax and added it to the prize money pot.
“Bookmakers pay out billions of pounds a year to punters, 2.5% of that would save horse racing.”
I owed the banks millions in the recession – this pitch was the last roll of the dice
Hearn then went on to discuss his experience of the 1988 recession, which almost saw the promoter go out of business.
“In 1988, when we hit a big recession, I went from being very wealthy to poor again. I owed the banks millions, and I couldn’t make a profit, but it didn’t stop my desire to become a sports promoter. You must be resilient.
“We all like to think we can cope with any situation, but you can’t. That’s human nature. That recession period was a bad three years and even I wasn’t a pleasant person then, despite being the most optimistic and happy person normally.”
Hearn then outlined the pitch that saved his business.
“I remember a pitch for a sponsorship deal for £300k which I really needed, and I went to see them on Christmas Eve. I made the worst pitch ever and this was the last roll of the dice.
“The man turned around and said I don’t have any money, that was the moment where I said to myself that’s it, I’ve had enough. I wished him a Happy Christmas and New Year to him and his family and went to walk out the room. I was just out the door when he said that he had hotel rooms all over the world. He said I’ll give you £300k worth of hotel rooms, but no cash.
“I shook his hand and left, by the time I got back to Slough Station I’d sold all the rooms to friends in the travel industry at a 40% discount, meaning the £300k became £180k, but that £180k was so important. It was the £180k that saved my business.”
Star Sports’ #BettingPeople interview with Barry Hearn Part 1/3: https://youtu.be/BmvzxIoK7X8?feature=shared
Star Sports’ #BettingPeople interview with Barry Hearn Part 2/3: https://youtu.be/HOFOX95ZdwI?feature=shared
Star Sports’ #BettingPeople interview with Barry Hearn Part 3/3: https://youtu.be/Kf_LpWzyVYU?feature=shared
