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General matters

It is a pleasure to speak after such erudite speeches from both sides of the House. I will speak on a matter that is specific to Suffolk and Newmarket, and that affects the racing industry across the country. Charles II was the first to make Newmarket the headquarters of the horse racing industry, and it is now its global headquarters. I will speak briefly about Newmarket's position as the headquarters of that great sport. In Newmarket, there are 2,500 racehorses in training, 70 miles of gallops, 62 studs, the world leader in equine sales in Tattersalls, 79 training yards and 5,000 people who are directly or indirectly associated with the industry. Many of those people and organisations support me because I am an unambiguous supporter of the racing industry. The industry contributes to the economy across the country, making £3 billion and employing 100,000 people. The future of the sport is tied intimately to gambling and the people who place bets on races—that includes many Members of this Chamber. We know that people love to bet. [Interruption.] Members are shaking their heads, but I think that it is an honourable and enjoyable thing to do, rather than something to query. Money from betting makes up 50% of prize money in racing, and that prize money attracts owners to race their horses and attracts some of the biggest international names to invest money in Britain. Heads of State, international business men and sportsmen, and punters who can afford to own a whole or part of a horse, love to race. Part of the thrill of racing is the potential for a prize. The sport is not without its problems. The amount of money from the horserace betting levy that is transferred into prizes has fallen from £115 million to £75 million over recent years. Prize money in Britain is, on average, the 37th in the world. The levy, which was first put in place in 1961, is highly bureaucratic. Each year, it depends on the decision of the Secretary of State for Culture, Olympics, Media and Sport on how much money should be transferred from the gambling industry to racing, to reflect the product that racing provides for people to bet on, and therefore for the gambling industry to profit from. The transfer of value is a policy response to the value provided by racing, which everybody can bet on. That bureaucratic solution, which ends up with a decision by the Secretary of State, is extremely old-fashioned.