Prizemoney Increases to Drive NSW Racing Forward
Racing NSW has consulted widely on its new Strategic Plan and given careful consideration to the matters raised by industry participants.
Accordingly, the integral objectives of the plan are defraying the costs of owners, enabling trainers to improve their cash flow and business viability as well as providing a stimulus for improving field sizes, especially for metropolitan and provincial racing.
As a major step in meeting these objectives, Racing NSW Chairman Mr Russell Balding AO, today announced a broad range of prizemoney increases to take effect from 1 September 2018, with prizemoney to increase by more than $24 million annually.
“We are delighted to be able to deliver these significant increases in prizemoney across all three sectors coinciding with the start of the spring” said Mr Balding.
From September minimum prizemoney for Saturday metropolitan races will increase by $25,000 to $125,000 per race, which headlines the increases summarised in the tables below.
The majority of the increase in prizemoney will be on horses finishing fourth to tenth in races bolstering returns to connections of the horses not finishing in the top three. In order to improve the cash flow for trainers, in a first for NSW racing, part of the increased prizemoney paid for horses finishing in these positions will be paid by Racing NSW directly to the trainer, with these amounts to be credited as a prepayment to the owner’s accounts (please see attachment).
This will provide a $13.1 million improvement to trainers’ cash flows. In addition, trainers themselves will receive an additional $2.4 million a year in trainer’s commissions. With the prizemoney paid down to tenth position, jockeys will also collectively receive a widespread increase in their prizemoney percentages of $1.2 million annually.
For example, a jockey whose horse finishes tenth in a Saturday metropolitan race receives an extra $75 in addition to the $200 ride fee, an increase of almost 38% on that fee.
Also included is the increase in prizemoney to two of The Championship races namely the Percy Sykes Stakes and the Arrowfield 3 Year Old Sprint which have an additional $400,000 added to take them to $1 million per race.
This means that the 10 Championship races now carry a minimum of $1 million per race. “On behalf of the Board of Racing NSW, I would like to again thank the NSW Government for embracing wagering tax parity as we progress towards placing racing in NSW on a level playing field with Victoria wagering tax.
Increases in wagering tax parity receipts with the further phase-in of parity from July 2018 and strong race fields fees revenue has enabled the Board of Racing NSW to deliver these prizemoney increases which are geared to boost participation in thoroughbred racing throughout NSW.” Mr Balding added.
Following these increases in prizemoney NSW will now be paying $260 million annually in prizemoney and bonuses, which is the highest of any State in Australia.
In addition to the increase in prizemoney announced today, Racing NSW’s new Strategic Plan will also focus on significant investment in our tracks and training facilities and on our integrity operations.
“NSW not only stages the world’s richest race on turf in The Everest – races for $13 million this October, but is underpinned by outstanding levels of minimum prizemoney across all sectors” said Racing NSW Chief Executive Mr Peter V’landys AM.
“Prizemoney in NSW has increased by more than $130 million annually across a seven-year period. The success of thoroughbred racing in NSW over this time is due in no small part due to the thousands of hard-working industry participants and the many thousands of owners that continue to subsidise the industry.
These prizemoney increases importantly focus on benefitting a wider spread of participant groups” Mr V’landys concluded.