Racing has been confirmed as the second biggest sport in Britain after football, both in terms of revenue and attendance, in a major new Economic Impact Study published today. The industry generated expenditure of 拢2.856产苍 in 2005, cementing its position as a substantial contributor to the British economy.
The Study, commissioned by BHB and produced by the Sports Business Group at Deloitte, highlights the significant breadth of Racing and Breeding鈥檚 activities. The industry made a tax contribution of 拢282尘 in 2004/05 and was responsible for some 18,800 full time equivalent jobs within its core industry. Taking into account further activity in the economy as a result of Racing, some 88,300 full time equivalent jobs were supported.
According to Deloitte, the number of full time employees within Racing 鈥渃ompares favourably鈥� with football, and Racing 鈥渆mploys a substantial proportion of the total full-time workforce within professional sport in Britain鈥�.
Other key findings of the wide-ranging Study, which has sections on the sport鈥檚 varied participants and customers, as well as comparisons within the leisure market and international competitors, include:
鈥� Core British Racing industry expenditure of 拢870尘, with racecourses generating 拢298尘, plus a further 拢180尘 in off-course racing expenditure 鈥� of all sports, Racing is a clear second to football in terms of revenue generation
鈥� Capital expenditure over the last four years within the industry of 拢421尘, of which 拢341尘 was accounted for by racecourses, and a further 拢60尘 by trainers 鈥� again, after football, the 拢421尘 is the highest of any sport in Britain
鈥� Some 拢300尘 of projected capital investment by racecourses over the next five years
鈥� Britain鈥檚 2,200 stud farms generating 拢202尘 in expenditure
鈥� Bookmakers鈥� gross win on British Racing in 2004/05 totalling 拢1.1产苍
In terms of Racing鈥檚 standing within the competitive sports market in Britain:
鈥� Four of the top eight attended sporting events in 2005 were race meetings
鈥� Total attendances of 5.9m last year placed Racing second to football, with Greyhound Racing in third overall with 3.8m spectators, ahead of Rugby Union, Cricket and Rugby League
With the British leisure market forecast to grow by a further 15% between 2005 and 2009, one of the central findings of BHB鈥檚 Racing Review of 2003 is emphasised: Racing is well-positioned for further growth, and a small change in the habits of its customers can generate substantial additional revenue. 拢6m extra in racecourse admissions alone would result if just a quarter of racegoers that go racing once a year were to make a second visit.
The Study will be available for free downloading on britishhorseracing.com and circulated throughout the industry, along with suggestions on how the document can be put to best use by a range of stakeholders in their lobbying, marketing and promotional activities.
BHB Chief Executive Greg Nichols said: 鈥淩acing is integral to British life and society, but we have never comprehensively quantified the level of this contribution. This Study amply demonstrates that we are a significant contributor to the leisure, agricultural and rural economies in Britain. We are a major employer, with a geographical spread across the country, and pivotal to the economic viability of a number of regional communities.
鈥淭he broad range of British Racing鈥檚 activities ensures that our overall economic impact approached 拢3bn last year and generated over 拢280m in tax revenue for Government. Our sport, second only to football by key indicators, is clearly thriving, and has many opportunities to increase its standing in the coming years.鈥�
To download a copy of the Economic Impact Review of British Racing click here
