Racing´s `NO´ To Channel 4 Subsidy

A crucial meeting between members of the racing and betting industries has resulted in Channel 4´s request for an £8 million subsidy to continue their racing coverage being unanimously rejected.

The gathering at the British Horseracing Board headquarters in Shaftesbury Avenue on Thursday saw the parties united to deny the broadcaster the financial package they require to ensure the continued broadcasting of racing into 2006.

A joint statement issued today by the BHB said: 'A meeting of members of the racing and betting industries was held at BHB yesterday afternoon to consider the substantial financial subsidy requested by Channel 4 for continued coverage of racing.

'In view of the extent of the subsidy requested and the precedent such action would set it was unanimously agreed not to meet Channel 4´s request.

'Both the racing and betting industries have greatly valued Channel 4´s excellent coverage of racing and would regret any decision by Channel 4 to curtail it, especially in the light of the new commercial opportunities opened up by Ofcom this week.'

BHB chief executive Greg Nicholls later expanded on the meeting and revealed exactly who has been involved in the decision making process.

'The Association of British Bookmakers were represented at the meeting by Tom Kelly and their chairman Warwick Bartlett, the three major bookmaking chains were there along with the Tote,' he told Racing UK.

'From our perspective there was our chairman (Martin Broughton), myself, representatives of our shareholders and David Thorpe, who is chairman of the Racecourse Association, represented those racecourses who show racing on Channel 4.

'Any issue of critical importance to the sport is going to engender a divergence of views, but at the end of the day unanimity was brought about by the fact the sport and betting industry were unwilling to set a precedent in terms of subsiding the sport´s rights.

'Secondly the quantum requested by Channel 4 - there was no way that we could put together a package that could even approximate the base of the Channel 4 request, which is circa £8 million.

'We decided that it was inappropriate for us to go back with any offer that was derisory of the Channel 4 position, which I explained to David Scott, the chief executive of Channel 4, this morning.

'You have got to take it on a comparative basis. Last year the sport had £101 million in prize money and up until 2001 it was £60 million.

'In terms of racing´s income, £8 million is a significant sum of money and there just wasn´t the money around the table that would have allowed us to put together a proposition that would even approximate the £8 million.

'The terrestrial TV coverage in this country surpasses any other. The BBC and Channel 4 have provided a magnificent service for a very long time and it is attributed to the success that British racing has enjoyed over the last few years.

'It is obviously something that we want to retain. You look at the number of sports that have marginalised once they have not been able to access terrestrial coverage.

'I am not saying that is a fate that beckons for racing, and it is not as we have a very strong customer base, but this is a medium that exemplifies the 21st century and we want to be part of it.'

Channel 4 has set a deadline of midnight on May 31 for an agreement to be reached and Nicholls indicated both parties would work to try and hammer out a deal.

He said: 'The pleasing thing after talking to David Scott is that they are going to continue talking to the racing and bookmaking industries. That itself suggests that we could re-energise the talks to come up with an outcome.

A position echoed by a Channel 4 spokesperson, who said: 'Despite today´s disappointing news, we are still talking to the horseracing industry.

'We remain ready to jointly explore a range of options between now and the May 31 deadline to try and find the funding we require to ensure the continued broadcast of live horseracing on Channel 4.'

? PA Sport