Horserace Betting Levy Board and Horse Welfare Debate

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Department: Department for Business and Trade

Horserace Betting Levy Board and Horse Welfare

Laurence Robertson Excerpts
Wednesday 6th December 2023

(11 months, 3 weeks ago)

Westminster Hall
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George Eustice Portrait George Eustice
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I thank my hon. Friend for that intervention. I completely agree that HBLB does some very important work when it comes to veterinary research.

However, I want to focus particularly on the aftercare sector, because that is where the HBLB has been found wanting, in my view, and to continue my analysis of the 1963 Act, which, as well as having quite a broad remit, gives the Secretary of State a clear, direct power—a power that is exercised by the current Minister. Section 25 of the 1963 Act says that the HBLB can carry out any of its activities only “with the approval of” the Secretary of State and “subject to any conditions” that the Secretary of State might choose to put in place. It is a very broad power. It goes beyond the Secretary of State just approving a business plan every three years. There is no need for the Minister to wait for that. The Minister has a very clear power under section 25 to intervene and give a direction at any point that he might choose. It gives him the power to disregard any business plan, should he choose to, and to disregard the views of the horseracing industry or, indeed, the bookmakers when it comes to determining the correct level of the levy collected.

Let us look at the current business plan for the HBLB. What does it do with the £100 million that it has? The short answer is that the overwhelming majority of it, £79 million a year, is blown on prize money. Indeed, its report suggests that during the covid crisis, when the Government made available all sorts of grants to help industries in distress, a £21.5 million additional grant from the taxpayer was given to the HBLB. What did it do with that extra money? It spent it on prize money. Don’t get me wrong; I do not begrudge prizes for winners of competitions. But what is wrong with a cup? Between the wars, my great-grandfather used to do a lot of showing of pigs. He did not get huge amounts of prize money, but he used to win all sorts of wonderful trophies—sometimes outright, by winning them year after year after year. That probably should be enough, because after all, it is often quite wealthy individuals involved in horseracing.

Laurence Robertson Portrait Mr Laurence Robertson (Tewkesbury) (Con)
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I congratulate my right hon. Friend on securing this debate and I draw the House’s attention to my entry in the Register of Members’ Financial Interests, which does not include horseracing ownership. I am sure that he will agree that the prize money in this country is below that across the world, and very serious issues are coming up because of that. He is of course absolutely right to say how important horse welfare is, but the horserace betting levy money does need to be fairly distributed to ensure the continuation of the sport.

George Eustice Portrait George Eustice
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I do. I was being provocative in my last comments, because I recognise that in horseracing globally there is a culture of prize money and that the UK is trying to compete with others internationally. But I would contest the point in this way. Why can the industry not find sponsors to help to provide the prize money? Why is it always the animal welfare sector that has to deal with the external costs of horseracing and be expected to go round with a begging bowl, asking for charitable donations, while prize money is deemed to be a right and paid for by the taxpayer?

In conclusion, I have a few key proposals. The first relates to the machinery of government. I have huge respect for the current Minister and his interest in this role, but my view is that responsibility for the HBLB should be transferred to the Department for Environment, Food and Rural Affairs. The reason for that is that DEFRA is the principal Department dealing with other levy bodies, such as the Agriculture and Horticulture Development Board. It has a lot of experience of levy bodies and how to govern them effectively. It is also the Department that has all the veterinary expertise, through the Animal and Plant Health Agency, and it is the Department that tends to have Ministers who have a passion for and an interest in equines.

The second proposal that I would make, recognising that such a transfer would take some time, is that the current Minister and the Department for Culture, Media and Sport should be far more assertive in its approach to the HBLB and not see its role as simply arbitrating on a dispute about what the level of the levy should be or just approving a business plan every few years, but should use its power to direct in section 25 to be very clear that it wants more money to go on animal welfare. Therefore, my final request to the Minister today is that he uses his power under section 25 to tell the HBLB that he expects it to give £12 million a year, out of its £99 million budget, to the aftercare sector. I believe that it can do so by top-slicing the budget and making that £12 million available to the Retraining of Racehorses charity, or to the Horse Welfare Board, or to a combination of the two. He has the power to do that; I seek an assurance from him today that he will act in that space.

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Stuart Andrew Portrait Stuart Andrew
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My right hon. Friend pre-empts what I was just about to say. He has raised some very important points, and, as I am also the Minister with responsibility for charities, I know how challenging the economic climate has been for them, in terms of raising funds and so on. However, we are in regular conversations, and I have regular meetings with the likes of the British Horseracing Authority, and I can assure him that I will definitely raise the issues that he has highlighted at my next meeting, because the welfare of horses that are no longer racing and the sustainability of the charities that he mentioned are very important.

My right hon. Friend alluded to section 25 in the legislation. I need to explore that further, but I give him my commitment that I understand the points he is making. I understand the challenges that those important charities face, and, recognising the current challenges across horseracing as a whole, I will see what I can do to highlight that important issue.

Laurence Robertson Portrait Mr Robertson
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My right hon. Friend the Member for Camborne and Redruth (George Eustice) raised the issue of Retraining of Racehorses, but there are a number of smaller charities that the Minister is no doubt aware of, such as HEROS—Homing Ex-Racehorses Organisation Scheme—which is based near Lambourn and brings retired racehorses together with youngsters who have lost their way, to the benefit of both. It is an excellent charity. The Minister will be looking at the charities, and there are lots of smaller charities that could perhaps also benefit from a little more attention.

Stuart Andrew Portrait Stuart Andrew
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I fear that this is going to become a bidding war for charities all over the country, but I get my hon. Friend’s point. My commitment to my right hon. Friend the Member for Camborne and Redruth and to hon. Members here, as a consequence of this debate, is that I will highlight the points that he has raised—the particular challenges that those welfare charities are facing—and give the body the opportunity to address those first, before I look at what other options may be available.