Oral Answers to Questions

Debate between Chris Philp and Matt Hancock

Thursday 26th May 2022 Commons Chamber

[Chris Philp]

The Government are extremely mindful of the challenges that the way the Northern Ireland protocol is being applied is imposing on communities across Northern Ireland. It clearly affects the horse-racing industry as it affects others. I know that my colleagues across Government are working extremely hard as we speak to find practical ways of fixing those problems, and I am sure that my colleague the Foreign Secretary will keep the hon. Member and the House updated on her efforts.

[Matt Hancock (West Suffolk) (Con)]

The anomaly on VAT, which ridiculously argues that a racehorse coming here to race or a brood mare coming here to breed is not coming for work, needs to be sorted.

Can the Minister also please ensure that the horserace betting levy is increased and reformed far sooner than is currently proposed? Although horse-racing is doing great at the moment, there is a significant challenge with the low level of prize money, which is leading to fewer runners and too many horses running overseas rather than here. We need to make sure we support the industry.

[Chris Philp]

I thank the former Secretary of State, who is a representative of a horse-racing constituency, for his question. Clearly quite a lot of money is going into the horse-racing industry via the levy. It is on track to raise about £100 million this year, most of which ends up in prize money. However, my right hon. Friend has made a number of powerful representations, both in this House and privately, about the need to review that levy earlier than was planned, and his powerful representations are being actively considered as we speak.

Oral Answers to Questions

Debate between Chris Philp and Matt Hancock

Thursday 18th November 2021 Commons Chamber

[The Parliamentary Under-Secretary of State for Digital, Culture, Media and Sport (Chris Philp)]

I commend my right hon. Friend for his continued active advocacy on behalf of British horse racing and Newmarket in particular. I am pleased to tell the House that racecourses are accessing £21 million from the sport survival package. They have also had £28 million in cash-flow and hardship funding, in addition to which the Horserace Betting Levy Board provided £97 million in 2019-20 to support the sport.

[Matt Hancock]

I am very grateful for the work that the Department and the Minister have done in the pandemic to support horse racing, but as a major contributor to the economy and soft power, and with one in three jobs in Newmarket in my constituency connected with horse racing, is it not vital that we strengthen further the horserace betting levy to ensure that all betting makes a contribution and to ensure that we get the support for horse racing, which is such a glorious sport?

[Chris Philp]

I agree entirely about the importance of horse racing to the UK, both economically and more generally. As I have said, the levy contributed £97 million in the year before the pandemic, about 10% more than the forecast. Even in the pandemic year 2020-21, it contributed £80 million, so generally speaking the levy has returned more money than was initially expected. However, we are always willing to look at evidence, so if there is anything that my right hon. Friend would like to send in that we could carefully consider, I would be delighted to look at that.