Victorian bookies make submission

By Mark Ryan

MELBOURNE, Feb 18 AAP - The Victorian Bookmakers' Association (VBA) believes the product fee model recommended to Racing Victoria (RVL) by the Victorian wagering review should take into consideration the value added by on-course bookmakers attracting racegoers.

The VBA has also submitted to the review that all who profit from racing should pay, not just wagering operators.

It believes that the scope of the review should be widened beyond wagering operators to include other sectors that benefit from racing including breeders, trainers, veterinarians, jockeys and other service providers to racing.

The review has been formed to provide recommendations to the RVL board on what is the best long-term product fee model for Victoria.

It is being undertaken independently of RVL by chairman Peter Yates and PriceWaterhouseCoopers.

"This review is likely to have a significant impact on the future of bookmaking in Victoria, and indeed racing as a mainstream sport," VBA chairman Lyndon Hsu said.

"The VBA continues to support Racing Victoria's commercially-oriented framework for the Victorian bookmakers' levy and charging product fees to interstate wagering operators.

"However, the VBA believes that all who profit from racing should pay, and that the review's scope should not just be confined to wagering operators.

"This should include other sectors that benefit from racing, including breeders, trainers, veterinarians, jockeys and other service providers to racing."

The VBA's submission calls for the review to investigate all sectors that profit from racing to recommend an appropriate contribution basis for these sectors.

It said on-course bookmakers in Victoria provide significant benefits to racing by attracting racegoers and creating the wagering market prices.

"Racing and bookmaking are interdependent: racing needs bookmaking and bookmaking needs racing," Hsu said.

"The product fee model recommended by the review team should take into consideration the value-added by on-course bookmakers attracting racegoers.

"The review's recommended model should reduce also the administrative burden particularly felt by the smaller bookmaker, as there is a real risk of driving more bookmakers out of racing."

The VBA's submission provides a roadmap of recommendations for the review team's consideration, including a progressive scale of fees to reduce the burdens on small on-course bookmakers.

"The VBA welcomes the opportunity to contribute to this critical review and to further assist the review team to achieve an outcome which supports both the racing industry and Victorian bookmaking," VBA executive officer John Clancy said.

Submissions closed last Friday but the Thoroughbred Racehorse Owners Association (TROA) was granted an extension until this Friday.

A summary of submissions will be released on March 4 and they will be used as the basis for consultations with industry stakeholders from March 7 until March 18.

A final recommendation will be presented to the RVL board's May meeting with the board's response to the final report due by the end of May.