ANNUAL REPORT AND ACCOUNTS 2015 - The British Horseracing ...€¦ · 2015 Highlights 6 - 7...

ANNUAL REPORT AND ACCOUNTS 2015

2015

BUILDING A BRIGHTERFUTURE FOR OURSPORT, OUR HORSESAND OUR PEOPLE

BHA Vision and Mission 4 - 5

2015 Highlights 6 - 7

Chairman’s Statement 8 - 9

Chief Executive’s Foreword 10 - 11

Case Study: Members’ Agreement 12 - 13

Strategic Report 14 - 69

Financial Overview 14 - 23

Racing 24 - 33

CaseStudy:Moreopportunitiesforthree-year-oldsprinters 28 - 29

CaseStudy:Veterans’ChaseSeries 30 - 31

CaseStudy:Racetimes 32 - 33

Raceday Operations and Regulation 34 - 43

OnRaceday 40 - 41

CaseStudy:TheWhip–awelfareissue,notawelfareproblem 42 - 43

Integrity 44 - 53

Industry People and Development 54 - 57

Communications and Corporate Affairs 58 - 65

CaseStudy:UnderstandingtheAuthorisedBettingPartnerScheme 62 - 63

CaseStudy:TheHorseComesFirst 64

CaseStudy:RetrainingofRacehorses 65

Great British Racing 66 - 69

BHA Administration 70 - 71

Directors’ Report and Governance Statement 72 - 79

Key Statistics 80 - 103

Financial Statements 104 - 137

CONTENTS

4

BHA VISION AND MISSION

OUR VISION

Togetherwewillbuildabrighterfutureforoursport,

ourhorsesandourpeople.

OUR MISSION

Wegovern,regulateandrepresentBritishhorseracing

Weleadandco-ordinateactivitieswhichwillensurethe

overallhealth,developmentandgrowthoftheindustry

Weprioritisethewelfareofourhorsesandourpeople

OUR VALUES

Integrity:Wewillalwaysdotherightthingtouphold

theBritishHorseracingAuthority’s(BHA)reputationfor

fairness,andtomaintainthetrustofourstakeholders.

Accountable:Wetakepersonalresponsibilityforour

actionsandstrivetoimprovethehealthofBritishracing.

Credible:Weareopenandhonestaboutwhatwe

do,andtreateveryonefairlyandwithrespect.

Responsive:Westayin-tunewiththesport’s

diversestakeholderssothatwecaneffectively

meetagreedobjectivesandgoals.

Progressive: Wepromoteaforward-thinkingand

collaborativeculturewhilerespectingthestrong

heritageofBritishracingasasportandanindustry.

WHAT WE DO

Integrity

Licensing

Regulationofracing,includingracecoursesandparticipants

Raceandfixtureplanning

Racingadministration

Handicapping

GuardianshipofthePatternandrulesataninternationallevel

Medicalservices

Leadershipofequinewelfare

Industrycareersmarketing,training,developmentandwelfare

Industryrepresentation

Governmentrelationsandindustrycommunication

5

VISION AND MISSION

STRATEGIC OBJECTIVES

1 Toprovideequinewelfareleadership.

2Todeliverimprovedandsustainablefunding

frombettingonthesport.

3 Todevelopproperlyfundedandintegratedindustrytraining,

welfareandcareersmarketingactivities.

4 Toworkwithothersinthesporttogrowparticipationlevels

anddelivertheStrategyforGrowth,andassociatedtargets.

5 Todevelopafixturelistthatsupportstheindustry’sgrowth

objectivesandtoleadanholisticapproachtoraceplanning

thatmatchestheraceprogrammetotherequirementsof

theparticipants.

6 Tocontinuetoevolvearegulatoryandintegrityframework

thatensuresimprovedconfidenceamongstparticipants

andtheracingandbettingpublic.

7Todevelopandmaintainacohesiveandfriendlyworkplace

inwhichcommitment,contribution,enthusiasmand

professionalismisexpectedandrecognised.

8 TocontinuetodevelopaframeworkthatseesBritain

furtheritspositionasthehomeofthebestquality

racingintheworld.

9TooperatetheBHAonabreak-evenbasisoverthelong

termwhilstmaintaininganappropriatelevelofcash

reservesandtobetransparentabouttheBHA’sbusiness

planandbudget.

6

32%Reduction in race clashes involving

British and Irish races from 637 to 435

New tripartite governance structure

for British racing

Encouraged mutually beneficial

relationships with off-shore

bookmakers

Government commits to introducing

Horserace Betting Right

Eight members to represent the

betting public

48%Decrease in number of whip offences

since 2010 from 1,029 to 538

0.6%Increase in total number of runners

from 87,531 to 88,075

41Recommendations in Jump Review

to secure future health of sport

6.1millionRacecourse attendance, growth

of 5.3% from 5.8m

7.5%Growth in prize money to

£132.2m from £123.0m

358More horses in training 13,528

to 13,886

8.77Average race field size from 8.66

2015HIGHLIGHTS

Authorised Betting Partners

March 2015 Budget

✓

Members' Agreement

Horseracing Bettors' Forum

Note: Statistics compared to 2014 unless otherwise stated.

7

£2.77mPlus 10 contribution to British

prize money

342,000Visits to careersinracing.com

from 295,000

Conducted for first time PhD co-funded by BHA to

support jockey’s wellbeing and

long-term fitness

Enhanced anti-doping policy launched

£650,000Cash generated through first ever

R&D tax credit claim

1,000Individuals who accessed industry

specific training, and 800 registered

for racing-related qualifications

7,738Free Tickets for Troops provided in

2015, taking the total to almost 50,000

6,000People employed to care for racing's

14,000 horses in training

2015 HIGHLIGHTS

Leading anti- doping policy

Sales Testing

Jockey nutritionlinechart

8

CHAIRMAN’S STATEMENT

Thereisnodoubtthat2015wasasignificantyearforBritish

horseracing.Wewitnessedanumberoflandmarkmomentsfor

oursport–aworld-classindustrywhichsupports85,000jobs

anddeliversaneconomicimpactof£3.45billion.

Oursportcametogethertodevelopanambitiousgrowth

strategytogrowracecourseattendances,ownership,horses

intrainingandbetting,underpinnedbyastrongfoundationin

integrityandregulation,participantwelfareandtraining.

Thereisstillmuchtodobuttheinitialsignsareencouraging

withthereversalofsomenegativetrendsachievedin2015.

Racing’sleadersdemonstratedacommonsenseof

purposeinembarkingonthisnewstrategyforgrowth,

andformalisedthisunityinthesigningoftheMembers’

Agreement.TheBHA,theHorsemen’sGroupandthe

RacecourseAssociation,arenowjointlyresponsiblefor

makingdecisionsinthebestinterestsofoursport.

Amajorbenefitofthisunifiedapproachshowedearlyfruits

withtheprogressmadewithGovernmentin2014andearly

in2015andwhichresultedinachievingstrongministerial

andcross-partypoliticalsupportforthereplacementofthe

outdatedHorseraceBettingLevy.Iwouldliketoexpress

againmysincerethankstoallpastandpresentMinisters

attheDepartmentforCulture,MediaandSportandthe

verymanyparliamentarianswhohavedemonstratedan

understandingofthevalueofhorseracingtoUKplc,andfor

theirleadershipandsupportingettingushere.

ThecommitmentfromtheGovernmenttouselegislationto

restoreafairreturnfromallbookmakerstoracing,which

hasbeenlostsimplybecauseoftheshifttoremoteoffshore

betting,isamajorbreakthroughandwillhelpustosecure

abrighterfutureforoursport.

Iwouldalsoliketothankthemanyleadersinoursport,

themediaandofcourseowners,trainers,jockeys,

9

CHAIRMAN’S STATEMENT

breeders,studandstablestaffandracecourses–alltoo

manytomention–forsupportingracing’scampaignfora

fairreturnfrombetting.

Thisdevelopmentisonlyoneofanumberofstepswhich

arerequiredtoputoursportonamoresustainable

financialfooting.TheStrategyforGrowthidentifiesthe

needfortheindustrytoachievesignificantlymorethan

a£100millionupliftinannualincome,withmuchofthis

growthtargetedtobenefitthegrassrootsofoursport,

andthusbuildlong-termfoundations.

2015sawthelaunchoftheIntegrityReview,theresultsof

whichwereannouncedrecently.Thisreviewwasinitiated

byournewChiefExecutive,NickRust,supportedbya

changedboard(pleaseseeboardbiosfrompage77to79).

Thisboardisappropriateforthefuturechallengesand

opportunities,andhasagoodblendofracingknowledge

coveringallaspects,includingintegrityandregulation,

bookmaking,mediaandgrowth.Allboardmembershave

accesstoindustrybestpracticeandpossessabroad,

diverseandhighlyrelevantrangeofbackgrounds.

InJuly2015,wewelcomedanewmembertotheboard,Sir

PaulStephenson,apreviousHeadoftheMetropolitanpolice.

SirPauloversawthecompletionoftheIntegrityReview.

TheBoardandIaremotivatedbywhatwecandowith

otherleadersinoursporttohelpthegrassrootsandtoput

somethingbackintothecommunitiesweserve.

Racingplayssuchanimportantrole,inbothruraleconomies

andinnercities,inhelpingyoungsters,veteransandmany

othersmoveonwiththeirlives;throughourcommunity

engagementprogramme,RacingTogether,wehave

continuedtosupportthemostpressingsocialissues.

Acrossthecountry,racinghaspartneredwithlocal

communitygroupsandcharitiestoworkwithyoung

people,providingracing-basededucationanddevelopment

programmesandfutureemploymentpathways.Iam

gratefultoeveryoneinoursportwhohasgiventheirtimeto

supportthesehugelyimportantandbeneficialactivities–

andthereislotsmoretodohere.

Lookingahead,mypriorityisfortheBHAtocontinuetoplay

amajorroleasthesport’sgoverningbodyandregulator,and

asarepresentativeoftheindustrywithotherracingleaders,

togrowoursportandachieveamoresustainablefuture.

Steve Harman

Chairman

10

CHIEF EXECUTIVE’S FOREWORD

IamdelightedtointroducetheBHA’s2015AnnualReport.Overall,

ithasbeenagoodyearforBritishracingandtheBHAhasplayed

itspart,deliveringsignificantincreasesinactivitytosupportour

industrywhilereturningourbusinesstoasoundfinancialfooting.

AtthefirstIndustryUpdateroadshows,heldinApriland

May2015atEdinburgh,York,NewmarketandNewbury,the

BHAandGreatBritishRacing(GBR)setouttheindustry's

StrategyForGrowth,withthreekeytargetsforoursport

toachieve,eachanindicatorofthehealthofourindustry:

anadditional1,000horsesintrainingby2020;5per

centgrowthinbettingonthesportby2018;growinglive

attendancesto7millionayear(from5.8million)by2020.

Theracecourseshaveworkedwelltogethertogrow

attendances,achievinganearrecordof6millionlastyear.

Horsesintrainingincreasedbymorethan350,although

growthwasamongourverytopownershipgroupsand

syndicates,withsoleownershipcontinuingtodecline.

TherewasevidencethatbettingonBritishracingis

becominganevenmoreimportantbattlegroundforbetting

operators,andgrowthwasreportedatthemajorfestivals.

Thereisstillalottodo.Throughoutthisreportyouwillfind

detailsofanumberofinitiativestheBHAhasundertakenin

partnershipwiththesport’sparticipantsandstakeholders.

InJune,welaunchedareviewofourintegrity

functionstoensurethatwemaintaintheconfidence

ofthesport’sparticipantsandourcustomers.We

publishedthefindingsinfullinMarch2016,afterthe

reporthadbeensubjectedtoanexternalchallenge

panelandapprovedbyourBoardofDirectors.

Wecontinuedtotaketheleadinpeopleanddevelopment,

growingrecruitmentactivityunderourcareersinracing

brand,whilealsolaunchingtheParticipantWelfareand

TrainingPillaroftheStrategyforGrowth.Thispillaris

designedtoaddressthechallengeourindustryfaces

recruitingandretainingskilledstaff,especiallywork

riders.Significantworkisunderway,andtosupportthis,

a£1millionfundinggrantfromtheRacingFoundation

hasbeensecuredforanew,three-yearprogramme

focusingonworkforcedevelopment.Wealsocarried

outasuccessfultrialofemployer-ledtraining.

2015wasacriticalpointinourregulationand

governanceofthesport.InNovember,theBHA,the

RacecourseAssociation(RCA)andtheHorsemen’s

GroupsignedtheMembers’Agreement,anew

tripartiteagreementwhichwillensurethatwemake

thebigdecisionsinthebestinterestsofoursport.

WeworkedcloselywithGovernmenttoreplacetheoutdated

HorseraceBettingLevywhichhelpsfundgrassroots

racing,includingprizemoney,integrityandthewelfareof

ourhorsesandourpeople.TheGovernmentannounced

recentlythatitwillintroducethenecessarylegislationto

putthisinplacebyApril2017,whichisexcellentnews.

Ithasalwaysbeenclearthatwewouldnotbeabletorely

solelyonGovernmenttoresolveourindustry’sshort-

termfundingissues.WehaveseentheamountofLevy

orequivalentfundingfallfrommorethan£100million

asrecentlyas2008,to£70millionin2015,andexpect

thistoreducefurthertounder£50millionby2017.

11

CHIEF EXECUTIVE’S FOREWORD

Racinghadtotakeresponsibilityforthisissue,soin

October2015,BritishracinglauncheditsAuthorised

BettingPartner(ABP)policy.ABPisaninitiativeto

acknowledgeandrewardbettingoperatorswhopaythe

Levy,oranagreedcontribution,ontheirdigitalbusinesses.

Ithasbeencriticalinmaintaininginvestmentinoursport

withmoreandmorebettingactivitytakingplaceremotely

andthereforeoutsidethescopeofthecurrentLevy.

Onequinewelfare,wecontinuedtotakealeadership

role,workingcloselywithrecognisedinternational

andBritishanimalwelfarecharities,includingthe

RSPCAandWorldHorseWelfare.Aswellasprotecting

theintegrityofoursport,ournewanti-doping

ruleshelpsafeguardthewelfareofourhorsesby

precludingtheadministrationofanysubstancethatis

prohibitedatalltimes,includinganabolicsteroids.

Oneofourbiggestchallengesistooptimisethefixture

listtoincreaseattendancesandbettingonthesport,

whilemeetingtheneedsofhorsemenandracecourses.

Duringtheyear,weintroducedanumberofinitiativesto

increasefieldsizes,includingtheapplicationof£10,000

Plus10bonusestospecifictwo-year-oldraces(expanded

toincludethree-year-oldracesin2016),removing

geographicalclashes,introducingenhancedprizemoney

forplacedhorses,launchinganewraceseriesand

addressingpoorlyperformingraces.The2016fixturelist

waspublishedinAugust,muchearlierthaninrecentyears.

WeestablishedanewHorseracingBettorsForumto

allowpeoplewhobetonBritishracingtoprovideus

withconstructivesuggestionsabouthowthesportcan

developandchange,forthebenefitofthebettingpublic,

toensureracingremainsacompellingbettingproduct

andtoachieveourgrowthtargetof5percentby2020.

TheincidentinvolvingSpeculativeBidintheGigaset

InternationalStakesatAscot–initiallydeclaredarunner,

onlytosubsequentlybedeemedtobeanon-runner–

wasregrettable.Ourinvestigationidentifiedanumber

oferrorsontheday.Wehavenowimplementedthe

recommendationsofourinvestigationtominimisethe

riskofsuchincidentsinthefuture.Iampleasedthe

legaldisputewasresolved;hadwelostit,itwouldhave

hadseriousimplicationsforthefundingofoursport.

InDecember,wepublishedacomprehensivereview

ofBritishjumpracingwiththeaimofsafeguarding

jumping’sfuturehealthandensuringitsfuturegrowth.

IamdelightedthatEdwardGillespiehaskindlyagreedto

chairtheJumpRacingReviewImplementationGroup.

Wehavealreadyimplementedsomeofthe

recommendationsofthereview,includingrebalancing

centralfundingfor2016andintroducingtheChallenger

Series.Inaddition,thereviewgroupsupportedthe

ThoroughbredBreeders’Association(TBA)proposalfora

MareOwnersPrizeSchemewhichmeetstheaimsoutlined

bythegroupforencouragingmoremaresintojumpracing.

Lookingforwardto2016,wehaveanumberof

opportunities,andfaceanumberofchallenges,including

implementingtherecommendationsofourIntegrity

Review;usingourFixtureListtodelivergrowthforthe

industry;securingtheimplementationofthereplacement

oftheLevyontimeinApril2017andattherightrate;

improvinglevelsofskilledemploymentinourindustry;

andimplementingourstrategyforequinewelfare.Iam

confidentthatwiththegovernancechangeswehave

putinplace,thatBritishracingcanandwillcontinueto

actinaunifiedwayinthebestinterestsofthesport.

Nick Rust

Chief Executive

12

MEMBERS’ AGREEMENT

Members'Agreement:Securingabrighterfutureforoursport.

Inalandmarkmomentinthehistoryof

Britishhorseracing,inNovember2015,

theindustry’smajorstakeholderssigned

theMembers’Agreement,anew,tripartite

governancestructureforthesport.

TheMembers'Agreementensuresthatthe

sportisabletoactinaunifiedmanner,with

themajorstakeholdersmakingstrategic

decisionsforthelong-termbenefitofthe

industrybyactingasaunitedbody.

What does it mean?

The Members’ Agreement changes the way

the BHA operates and makes decisions for

the good of the sport. We now have three

categories of decision-making:

Decisionswhichcanbemade

autonomouslybytheBHA

Decisionswhichcanonlybemadeafter

consultationhastakenplace

Tripartitedecisions(whichfallintotwo

categories,CategoryAdecisionscanbe

madebya2:1majority,CategoryBdecisions

mustbeunanimous)

How will decisions be made?

Members’ Committee

Meetsquarterly,withresponsibilityfor

high-levelstrategicdecisions.TheMembers’

Committeecomprisesof:

BHAChairman,whochairstheCommittee

ThreeRacecourserepresentatives

RacehorseOwnersAssociation(ROA),TBAand

LicensedPersonnelrepresentatives,being

theNationalTrainersFederation(NTF),

ProfessionalJockeysAssociation(PJA)and

NationalAssociationofStud

andStableStaff(NASS)

Plusnon-votingobservers

Executive Committee

Meetsmonthly,withresponsibilityfor

executivedecisions.TheExecutive

Committee’smembersare:

BHAChiefExecutive,whochairs

theCommittee

1xRacecourserepresentative

1xHorsemen'sGroup(HG)

Plusnon-votingobservers

Parties to the Agreement

BHA

RCA

ROA

TBA

NationalTrainersFederation(NTF),also

representingtheLicensedpersonnel

CASE STUDY

13

MEMBERS’ AGREEMENT

Steve Harman, ChairmanoftheBHA

“Thisisalandmarkmomentforthesportandtheindustry.

Wenowmoveforwardfromapositionofstrengthasasport

andindustrywhichisunited.”

Nick Rust,ChiefExecutiveoftheBHA

“TheAgreementgetsourkeystakeholdersroundthetable

tomakebigdecisions,inthebestinterestsofthesport.It

makesusgreaterthanthesumofourpartsandrepresents

theindustryformallycomingtogetherinamannerwhichit

rarelyhasinthepast.”

Philip Freedman,ChairmanoftheHorsemen’sGroup

“Thismarksanotherstepontheroadwhichbeganover

twentyyearsagowhentheJockeyClubcreatedtheBritish

HorseracingBoard,priortothefoundationoftheBHAin

2007.Wenowhaveamodern,governancestructurewhich

isfitforpurpose.”

Maggie Carver, ChairmanoftheRCA

“WebelievethatitwillbenefitallpartiestotheAgreement,

ourmembersandthesportasawholethroughbetter

communicationanddecision-making.Wearecommittedto

workingwithourpartnerstoensurethatitdoes.”

THE MEMBERS' AGREEMENT BEING SIGNED BY, FROM LEFT TO RIGHT: STEPHEN ATKIN AND MAGGIE CARVER,

RCA, NICK RUST AND STEVE HARMAN, BHA, PHILIP FREEDMAN, HG, AND RACHEL HOOD, ROA.

15

STRATEGIC REPORT

FINANCIALOVERVIEW

In2015,wemadeasurplusbeforetaxof£160,000andaftertaxof

£690,000.Thiscomparestoadeficitbeforetaxof£1,363,000in2014.

Costsandincomein2015remainedatalowerlevelthanin2010.

Thesurplusfor2015wasdeliveredalongwithsignificant

increasesinactivity.Thiswasachievedthroughgood

costcontrol,newincomeandthefirstfeerisessince

2012.Ourfinancialaimwastoreturntobreak-even-

whichweachieved-andtostartreplenishingthedeficit

accumulatedin2014,whichsignificantlyreducedreserves.

2016representsafurtheryearoffinancialconsolidation,

withnoincreasesinstandardfeesforowners,ortotrainers'

licencefees,andwithlimitedfeeincreaseselsewhere.

Weaimtodelivervalueforthesportthrough

managingourcostseffectively,andtoachieve

anotheryearoffinancialstability.

Inlate2015,wepublishedabudgetguidewhichwasa

cash-basedforecastshowingasmalldeficitforthatyear.

Ouractualresults,baseduponaccountingprinciples,

showincreasedincomeandreducedcostsdelivered

throughefficienciesachievedinthefinalmonthsofthe

year.Thesefactorscombinedtodeliverasmallsurplus.

HEADLINE NUMBERS FOR 2014 & 2015

Surplus / (deficit) before statutory adjustments and before tax

Administrativecostsbeforestatutoryadjustments

Incomebeforestatutoryadjustments

£’000 £’000

30,65228,644

(30,492)(30,007)

160(1,363)

2014 2015

16

TOTAL INCOME BEFORE STATUTORY ADJUSTMENTS

Total**

Owners

Otherparticipants

Publications

Managementcharges

Propertyrecharges

Fines

Industrytrainingincome

Interest

Other

Racecourses

£’000£’000 %£’000

19,90118,704 6.4

7,961

659

564

394

169

155

90

27

611

7,514

597

524

380

133

150

20

60

562

5.9

10.4

7.6

3.7

27.1

3.3

350.0

(55.0)

8.7

1,197

447

62

40

14

36

5

70

(33)

49

30,65228,644 7.0%2,008

64.9%Racecourses

26.0%Owners

2.2%Otherparticipants

1.8%Publications

5.1%Other

More than 90 per cent of our

income comes from owners

and racecourses.Theproportion

ofincomefromeachsourcehas

remainedrelativelyconsistent

year-on-year.

2014 Variance Variance2015

Internationalrunnerandpermanentimporttesting* 1210 121

*Internationalrunnerandpermanentimporttestingincomeoffsetsthepeopleandsamplingcostsofdeliveringthisservice.

**Totalincomeof£30,652,000differsby£472,000fromthefigureshowninthestatutoryaccountsduetostatutoryadjustments.

17

STRATEGIC REPORT

INCOME EXPLAINED

Incomeincreasedby7percentin2015asa

resultofincreasesintheunitpriceoffeespaidby

racecoursesandparticipants,aswellasincreases

inthefixturelistandnewrevenuestreams.

The2015increaseinunitfeesof5.85percent

wasthefirstincreasesinceJanuary2012.

Our income can be broken down as follows:

Incomefromracecoursesisderivedfromcharges

forregulation,integrityandgovernanceservices.

Owners'feesconsistofentryhandlingfeesand

registrations.Entryhandlingfeeincomeincreasedby

6.3percentbetween2014and2015,drivenmainlyby

a5.85percentincreaseintheunitpriceofanentry.

Wechargealowerhandlingfeewheretheentryand

declarationismadeonline.In2015,90percentof

entriesand81percentofdeclarationsweremade

online.Movingtransactionsonlinehasenabledusto

makesavingsthroughourcontractwithWeatherbys.

Other participantfeesincludetrainerlicences,

stableemployeeregistrations,jockeylicencesand

incomefromamateurriders.Amateurriderincome

arisesfromridingfeesandprizemoneywoninraces

againstprofessionalsandisusedtofundspecific

costsassociatedwithamateurriders,thelargestof

whichisaninsurancepolicyforraceridinginjuries.

Wealsogenerateincomefromthesaleofracing

relatedpublications,includingtheRacingCalendar

andProgrammeBook,aswellasadvertisingin

thesepublicationsandonourracingadministration

website.Increasingadvertisingrevenuesaccounted

fortheyear-on-yearincreaseinincomehere.

Wehavethreemainmanagementagreementswith

BritishHorseracingDatabaseLimited(BHD)forthe

managementoftheWeatherbysagreement;with

RacingEnterprisesLimited(REL)fortheprovisionof

officespaceandfinance,ITandHRservices;andwiththe

Point-to-PointAuthorityfortheprovisionofregulatory

services.Inadditiontothepropertychargesincluded

withtheRELmanagementagreement,BHAalsosublets

spacetotheROA,RCAandBritishChampionsSeries

Limited(BCS).

Incomeisalsogeneratedfromfinesonparticipants

andracecourseswhicharisefrombreaches

oftheRulesofRacingandwhichareimposed

bythestewardsoradisciplinarypanel.

International runner and permanent import

testing incomeisnewin2015asaresultofthe

implementationoftheEquineAnti-DopingRules.

Thisnewincomeoffsetsthecostsweincurrred

incollectingandprocessingthesesamples.

Industry trainingincomeisgeneratedeitherfrom

grantsforspecificindustrytrainingactivitiesorfrom

runningourGraduateDevelopmentProgramme.

Interest incomehasreducedin2015asaresultof

lowerinterestratesandlesscashplacedondeposit.

2016incomeisbudgetedtoriseby2percent,

althoughworkisongoingtodelivernew,

sustainableincomestreamstoenhancethis.

18

TOTAL COSTS BEFORE STATUTORY ADJUSTMENTS

Weatherbys

Samplingandresearch

Propertyandoverheads

Legalandprofessional

Communicationsandcorporateaffairs

Publicationandproductioncosts

Committeesandenquiries

Totalstaffcosts

£’000£’000 %£’000

14,74914,259 3.4

5,378

3,330

2,405

1,016

456

445

369

5,232

3,108

2,201

1,109

554

461

363

2.8

7.1

9.3

(8.4)

(17.7)

(3.5)

1.7

490

146

222

204

(93)

Projectspend 7311,008 (27.5)(277)

Directors'remuneration 735676 8.759

(98)

(16)

6

ITinfrastructureandnetworkcosts 196166 18.130

Industrypeopleanddevelopmentexternalcosts 164177 (7.3)(13)

BHDlicencefee 159153 3.96

Horsemen’sGrouploanrepayment (175)0 (175)

Other 534540 (1.1)(6)

Total* 30,49230,007 1.6485

48.4%Totalstaffcosts

17.6%Weatherbys

10.9%Samplingandresearch

7.9%Propertyandoverheads

3.3%Legalandprofessional

2.4%Directors'remuneration

2.4%Projectspend

1.5%Communicationsand

corporateaffairs

1.5%Publicationcosts

4.1%Other


*Totalcostsof£30,492,000differsby£477,000fromthefigureshowninthestatutoryaccountsduetostatutoryadjustments.

19

STRATEGIC REPORT

Total staff costsmakeupapproximatelyhalfofour

overallcosts.Theseincludecostsassociatedwithsalary,

pension,NationalInsurance,benefitcostsandtraveland

subsistence.RemunerationspecificallyfortheBoard,

includingtheCEO,isseparatedoutfromstaffcosts.

Overall,totalpeoplecostsroseby3.4percent,drivenby

ageneralriseof2percent,plusincreasedheadcountin

corporateaffairs,industrypeopleanddevelopmentand

racingandoperationstosupportahigherlevelofactivity.

Totalstaffcostsareexpectedtorisebyabout4percent

in2016drivenbyadditionalstafftoachieveourobjectives,

thefullyearimpactof2015changesandsalaryinflation.

Weatherbysprovideadministrationservicesonalong-

termcontract.Themainservicescompriseprocessing

allownerregistrations,entriesanddeclarations

andmaintainingtheracingdatabase.Thesecosts

increasedduetocontractualinflationof1.54percent

(£80,000),increasedITdevelopment(£70,000)and

additionalactivity(£22,000),offsetbysavingsof£26,000

deliveredbybringingpayrollservicesin-house.In

2016,weanticipatefurthercontractualinflationary

increaseswillbepartiallyoffsetbyefficiencysavings.

Equine sampling and researchisprovidedunderan

agreementwithLGCandthroughourfacilitytheCentre

forRacehorseStudiesinNewmarket.Theleveloftesting

undertakenisshownonpage49.Theincreasedcosts

in2015arosethroughincreasedout-of-competition

testingforsubstancesprohibitedatalltimes,including

anabolicsteroids,oninternationalrunnersand

permanentimportsaswellastestingatvarioussales

bothintheUKandoverseas.In2016,wehavebudgeted

forcontractualinflationof2percent,plusincreased

samplingactivitytodeliverouranti-dopingpolicy.

InMay2015,ourcentralLondonofficesunderwent

arentreview,thisisthemainreasonbehindthe

increasedcostofproperty and overheads.Rent

accountedfor£0.75millionofthe£2.4milliontotal,

whichequatesto£40persquarefoot.Ofthistotal,

morethan£0.2millionisrechargedviasublets.The

majorityofthebalanceofthesecostsrelatetorates,

servicecharge,electricity,depreciationandinsurance.

In2016,thesecostswillincreaseasthefull-yearrent

reviewtakeseffectanddepreciationchargesincrease

significantlyasaresultofplannedcapitalexpenditure.

Legal and professionalcostsfortheyeartotalled

£1million,coveringourcompliance,regulatory

andgovernanceactivities.Inaddition,weclosed

ourdefinedbenefitpensionschemetofuture

accrualon31December2015andthelegalcosts

associatedwiththisclosurearealsoincluded.

Attheendof2014weappointednewBoardmembers

astheBoardwasrestructured.Thesecostsrepresent

theremunerationpayabletoBoardmembers.

Project spendvarieseachyearandcoversprojects

includingintegrity,equinescience,medical,the

Plus10bonusschemeandothercentralprojects.

Communications and corporate affairsisanessential

areaofgoverningauthorityspendandincludessome

costsrelatingtotheGodolphinStudandStableStaff

awards,TheHorseComesFirstcampaign,aswell

asthecostofGovernmentrelations.

Publication productioncostsareassociatedwiththe

RacingCalendarandProgrammeBook.Thesecosts

reducedduringtheyearduetoarationalisationin

contentandachangeoflayoutfortheRacingCalendar.

Committee and enquirycostsincludethefees

payabletocommitteemembersandthecostof

accessingrecordingsfromthedigitalarchive.

Duringtheyear,wereceivedarepayment

fromtheHorsemen’s Groupof£175,000.

COSTS BROKEN DOWN

20

PERSONNEL BREAKDOWN

Ourheadcountfor2015was210asat31December.Wealsoemploysessionalstaffduringtheyear,primarilyinraceday

regulationandoperations,whohavenotbeenincludedinthetablebelow.

Racedayoperationsandregulation

Raceday operations and regulation Total

Racing and operations Total

Integrity, legal and risk Total

Executive Total

GBRI Total

Industry people and development Total

Comms and corporate affairs Total

Total as at 31 December 2015Business unit Cost Centre

34

111

37

30

13

3

9

7

EquineWelfareandIntegrityOfficers

15Starters

11

3

VeterinaryOfficers

Medical

9

3

ClerksofScales

RacedayServices

8

2

Judges

RacecourseandPointtoPoint

4

2

InspectorofCourses

CentreforRacehorseStudies

20StipendiaryStewards

Racingandoperations

Integrity,legalandrisk

Commsandcorporateaffairs

Industrypeopleanddevelopment

Executive

GBRI

11

8

3

6

13

3

Handicappers

Integrity

Plus10BonusScheme

Industrypeopleanddevelopment

Executive

GBRI

8

5

2

ProgrammeOfficeandDevelopment

StableInspectors

CorporateAffairs

3

5

Finance

Compliance

3

4

ICT

Licensing

2

3

OfficeServices

Disciplinary

10

5

2

3

RacingDepartment

InvestigatingOfficers

Communications

HR

Grand Total 210

21

STRATEGIC REPORT

TOTAL COSTS BEFORE STATUTORY ADJUSTMENTS

RacingandOperations

Executive

Integrity,LegalandRisk

IndustryPeopleandDevelopment

CommunicationsandCorporateAffairs

RacedayOperationsandRegulation

£’000£’000 %£’000

6,6386,639 (0.1)

2,508

1,695

1,768

486

324

148

2,354

1,615

1,817

413

174

71

6.5

5.0

(2.7)

17.5

86.6

108.5

(1)

154

80

(49)

73

150

77

1,1821,176 0.56

Total 14,74914,259 3.4490

45.0%RacedayOperationsandRegulation

17.0%RacingandOperations

11.5%Executive

12.0%Integrity,LegalandRisk

3.3%IndustryPeopleandDevelopment

2.2%CommunicationsandCorporateAffairs

1.0%Corporatecostsnotattributable

toindividualbusinessunits

8.0%PensiondeficitcostsandPension

ProtectionFundlevy

Totalstaffcostsincludeallthecostsshowninnote

fourofthestatutoryaccountsplusalltraveland

subsistence,otherbenefitcostsandpensiondeficit

andPensionProtectionfunding.

Overall,staffcostsroseby3.4percent.Whiletotal

staffnumbersremainedapproximatelythesame

attheendof2015comparedtotheendof2014,we

increasedresourceinracedayregulationandoperations,

industrypeopleanddevelopment,withcorresponding

reductionsinsupportfunctionsandGreatBritishRacing

International(GBRI).Thisenabledustodelivercertain

keystrategicobjectivesacrossthebusiness.


Corporatecostsnotattributabletoindividualbusinessunits

PensiondeficitcostsandPensionProtectionFundlevy

22

Since2010,costshavedecreasedandinrealtermshave

reducedbymorethan10percent.Thisreductionhas

beeninthecontextofsignificantincreasesinactivity

inareassuchasequinesampling,industrypeopleand

developmentandgovernmentrelations.Therewerenofee

increasesin2013or2014andthisresultedinasignificant

deficitin2014whichreducedreserves.Ouraimisto

replenishreservesoverthenextthreeyears.

SIX YEAR TREND

BHA SURPLUS AND DEFICIT (£'000)

BHA INCOME AND COSTS (£'000)

441270

(1363)

160

500

0

(500)

(1000)

31,000

2011 2012 2013 2014 2015

30,250

29,500

28,750

28,000

20112010

2010

2012 2013 2014 2015

(1,500)

Income

Costs

(51)(110)

23

STRATEGIC REPORT

RECONCILIATION TO STATUTORY NUMBERS

TAXATION

AdjustmentsinrespectofFRS102forpensions

Taxation

Surplus/(deficit)aftertaxation

Statutorysurplus/(deficit)beforetax

Surplus/(deficit)beforestatutoryadjustmentsandbeforetax

Surplus/(deficit)beforetaxation

£’000

£’000

£’000

£’000

160

759

(1,363)

(745)

599

530

1,289

759

618

67

(678)

(745)

2014

2014

2015

2015

In2015,weimplementedFinancialReportingStandard

(FRS)102,whichrequiredustorestatecertainprior

yearfigures.FRS102pensionadjustmentsof£599,000

increasedsurplusbeforetaxto£759,000andsurplus

aftertaxto£1,289,000.Theanalysisofincomeandcosts

onpage16to21isbaseduponsurplusexcludingstatutory

pensionadjustments,asthisbetterreflectsouroperating

activitiesasasingleentity.Wearealsorequiredtoproduce

consolidatedstatutorynumberswhichincludesthe

operationsofRELandBHD.Theanalysisandcommentaryis

basedonlyonouractivity.

In2015,wesubmittedclaimstoHMRCforResearchand

Development(R&D)taxcreditsforexpenditureincurred

inveterinaryandmedicalresearch.Thisisthefirsttime

R&Dtaxcreditshavebeenclaimed.Ournettaxcredit

of£530,000includes£650,000ofcashreceivedortax

creditsrelatingto2012,2013and2014.

Ourcashbalanceismadeupofoperatingcashandring-

fencedcashforspecificpurposes(i.e.notouroperating

activity).Operatingcashintotalreducedovertheyearasa

resultofcapitalexpenditureandchangesinworkingcapital.

CASH

£’000 £’000

2014 2015

Ringfencedcash

Operatingcash

Total cash

6,347

5,060

11,407

5,058

5,569

10,627

Note:Operatingcashincludessomecashheldondeposit.

24

DELIVERINGCOMPETITIVEAND COMPELLINGRACING

25

RACING

RACING

During2015,wecontinuedtofocusourraceplanningactivitieson

deliveringcompetitiveandcompellingracing.Developingafixture

listwhichmeetsadiverserangeofobjectivesandstakeholders'

needsisoneofourbiggestchallenges.

Thefixturelist,inmeetingtheagreedsporting

objectives,mustbeproducedinthebest

interestsofthesport.Indoingsoithasto

striketherightbalancebetweentheabilityof

thehorsepopulationtodelivercompetitive,

compellingracing,andtheneedsofthe

racecourses,withtheaimofmakingBritish

racingassuccessfulaspossible.

In2015,wepublishedthe2016fixturelistin

August,earlierthaninrecentyears,toallowour

customerstoplanaccordingly.Thismeantthat

wecouldpublishtheProgrammeBookearlier

forthebenefitofhorsemenandtheracing

public,andthatracecoursescoulddetermine

theirbudgetsandmarkettheir2016calendar.

Throughout2014,fallingaveragefieldsizesled

torealconcernsabouttheattractivenessofthe

sportasaspectacleandasabettingproduct,

withnovicechasesandflatnoviceraces

frequentlyattractingsmallanduncompetitive

fields.Weintroducedanumberofmeasuresin

2015toreversethetrendofreducedfieldsizes.

Whileconsciousoftheimpactofreducingthe

numberofracesstagedonracing'sincome,

averagefieldsizeshadreachedapointwhere

weneededtotakeaction.Usingamonthlyfield

sizeforecastingprocess,wewereabletoreduce

thenumberofracesinatargetedmannerwhile

minimisingtheimpactonprizemoney.

Weremovedaround130racesfromthe

programmeatcertain‘pinch-points’when

historictrendsshowedthehorsepopulation

tobemoststretched.Thedatafromthis

suggeststhatthisinitiativedidhelpfield

sizesinthisperiod.

Wecontinuedtofocusontheresolutionof

manyofthegeographicalclashescontained

inthecurrentlist,tohelpincreaseracecourse

attendancesandfieldsizes.

Wealsofocusedonimprovingtheperformance

ofcertainracetypes,includingreducingthe

numberofweight-for-agenovicechasesand

introducingnewraceconditionsforsellers

andclaimers,whilereducingthenumber

programmed.Wereachedagreementto

introduceanewapproachtothetwo-year-old

flatnoviceandmaidenprogramme,whichwe

willseetheresultsofin2016.Thetrialwillsee

Headline elements for 2016 Fixtures1,482 scheduledfixtures(1,471in2015)

40%jump, 39%flatturf,21%allweather

1,219racecoursefixtures

198BHAFixtures

13self-fundedfixtures

52enterprise/otherfixtures

DELIVERINGCOMPETITIVEAND COMPELLINGRACING

1,482Scheduledfixtures

26

thesignificantmajorityofmaidenraces(about

85percentoraround180races)convertedto

novicecontestsbetweenthestartoftheflatturf

seasonandthebeginningofJuly,whennursery

handicapscommence.Itisdesignedtoprovide

amoreattractiveprogrammeforwinningtwo-

year-oldstocompeteagain,andtoreducethe

numberofsmall-fieldraces.

Plus 10

Aspartofourcommitmenttogrowthenumber

ofownersintheindustry,andtohave1,000

morehorsesintrainingby2020,thePlus

10bonusschemewaslaunchedin2014.By

offering£10,000bonusesontopofprizemoney

acrosstwoandthree-year-oldracesinBritain

andIreland,Plus10offerssignificantreward

toownerswhoinvestinandsupportBritish

andIrishbredbloodstock.Wemanagethe£5.5

millionbonusschemewhich,inahistorical

first,operatesacrossbothBritainandIreland,

aswellasattendallmajoryearlingandfoal

sales,whileliaisingwithowner,breederand

trainerassociations,togrowthescheme.

In 2015:

417Britishtwo-year-oldraces

featureda£10,000Plus10bonus

£2.77millionworthofbonuses

wononBritishtracks

160ownersand177breedersshared

intheBritishbonuswinnings

Wealsointroducedaschemetopayadditional

prizemoneytoplacedhorsesinorderto

supportincreasedfieldsizes.Thiswasfunded

throughbookmakers’voluntarycontributions

(whichalsosupportedtheVeterans’Chase

seriesdiscussedonpage30to31).Additionally,

andforthefirsttime,webegantoassess

whetherindividualraceshaddeliveredforthe

sportasawhole,withtheprovisionofeight

runners(andplacebettingdowntothird)

classifiedasa‘success’andraceswithfewer

thanfiverunnersclassifiedasa‘failure’.

Duringtheyear,weconsultedwith

stakeholders,includingtheHorsemen’s

GroupandtheRCAtodevelopabetter

waytocreatetheraceprogrammeto

benefithorsemen,racecoursesandthe

widerindustry.Wepublishedthefindings

atthebeginningof2016whichidentified

theneedforimproveddatatoinformrace

planningdecisions,improvedprocesses

whencompilingtheraceprogramme,

bettercommunicationwithtrainersand

increasedvisibilityforracecourses.

Key metrics at the end of 2015 show that

the measures we introduced have started

to have a positive effect. Average field

size increased from 8.66 to 8.77; the total

number of runners increased by 0.6 per cent

despite the fact that the number of races fell

by 0.6 per cent; non-runners fell by 5 per

cent; the race failure rate (i.e. races with

fewer than five runners) fell from 15.4 per

cent to 12.9 per cent while the race success

rate (i.e. races with at least eight runners)

rose from 59.2 per cent to 61.7 per cent.

Ofcourse,theseimprovementsarejustthe

beginningandwewillcontinuetodevelop

furtherinitiativestoensurethatwecan

deliverimprovedresults.

417Britishracesfeatureda

£10,000bonusin2015

27

RACING

INDUSTRY

GROWTH TARGETS

1,000Additionalhorsesin

trainingby2020

5%Increaseinbetting

participationlevels

by2018

£120mAdditionalincomefor

thesportperannum

by2018

7mRacecourseattendance

targetby2020

AspartoftheIndustryStrategyforGrowth

thatwelaunchedwithGreatBritishRacing

in2015,wesettargetstogrowattendances,

increasethenumberofhorsesintraining

andtoincreasebettingparticipationlevels.

OurongoingworkwiththeMembers’

Committeetorebalanceandrestructure

thefixturelistandraceprogrammewill

playacriticalroleinhelpingtomeetthese

objectives,aswellascontinuingtoprovide

competitive,compellingracing.

Jump Review

WealsoconductedaJumpReviewin2015to

assessthehealthofjumpracing,identifyand

examinethethreatsandchallengesfaced

bytheindustry,andtocreatelogicaland

deliverablesolutionstothesechallenges.

Weaimtousetheworktocreatealong-term

strategyforjumpracing,onewhichoutlinesa

pathfromwhichfuturegrowthandsuccesscan

bedelivered.Thereviewwaschairedbyformer

managingdirectorofCheltenhamRacecourse

EdwardGillespie.Particularareasoffocusfor

thereviewincludedtheraceprogramme,field

sizes,participation,ownership,breeding,horse

population,prizemoney,sales,racecourse

attendances,mediaandbettingtrends.

Handicapping

Ourhandicappingteamisresponsiblefor

producingtheratingsthatformthebasisof

allhandicapraces,whichcurrentlymakeup

65percentoftheraceprogramme.Theirrole

extendstointernationalmattersincludingthe

assessmentofeveryFlatPatternRaceinthe

world.Thisenablesustotakeaprominent

roleintheassessmentofallhorsesrated

above115whichappearintheLonginesWorld

RacehorseRankingsattheendoftheyear,and

allhorsesrated110-114whichappearinthe

Europeantophorseslist.

HeadofHandicapping,PhilSmith,co-chaired

LonginesWorld’sBestRankingscommittee

andalsotheAnglo-IrishJumpClassifications.

In2015,PhilappearedmonthlyonAttheraces

ontheAskTheHandicapperfeatureandalso

ledtheHandicappingseminarontheBritish

RacingSchoolTrainers’Course.

Duringtheyear,wealsolaunchedanew

initiativetohelpexplainhowhandicapping

works,andtoaddressthequestionsandissues

ofthesport’sfansandparticipantsthrougha

dedicatedemailaddress,withresponsestobe

publishedonanongoingbasisviaourwebsite.

28

MORE OPPORTUNITIES FOR THREE-YEAR-OLD SPRINTERS

In2015,weplayedakeypartinapan-Europeaninitiative

designedtoaddressthelackofopportunitiesforhigh-class

three-year-oldsprinters,whileimprovingtheoverallstandard

ofsprintGroupracesinEurope.

Wemadetwochangestothesprint

programme.First,weworkedwiththe

EuropeanPatternCommittee(EPC)toeither

upgradeorintroducealimitednumberof

Patternracesrestrictedtothree-year-olds

inthefirsthalfoftheseason,culminating

inanewGroup1sprintraceatRoyalAscot,

theCommonwealthCup.Second,weworked

withtheEPCtodeliveramorebalanced

overallsprintprogramme,providingbetter

opportunitiesandgreaterincentivestorun

high-classsprintersinEurope.Thisincluded

upgradinganumberofracesincludingthe

BritishChampionsSprintonQIPCOBritish

ChampionsDaytoGroup1,andtheFlying

FiveonIrishChampionsWeekendtoGroup2.

OnthenewlycreatedCommonwealthCup

inparticular,perhapsthemostremarkable

point(quiteapartfromtheinternational

representation)wasthefactthateveryrunner

hadalreadyearnedblacktypebythetimeof

therace.Thisincluded13winnersofblack

typeraceswhiletheotherfiverunnershadall

beenplacedinblacktypeevents.

Itwasespeciallypleasingthatthewinner

ofeveryupgradedtrialleadinguptothenew

Group1contesttookpart.Thetrialraces

themselvesallexceededtherequiredrating

parameterfortheirnewgrade,showing

notonlytheappealoftheinitiativebut

thequalityofsprintersattractedtorun

inEuropeasaresult.

“Asaresultofthesechangeswehavehad

anexcellentsprintingseason.Whatwe

didn’tknowuntilthatRoyalAscottourde

forcewasinMuhaararwehadachampion

sprinterinwaiting.Theownersofthree-year-

oldsneededtobeencouragedtoconsider

sprinting.ThenewGroup1raceatRoyal

Ascot,plusimprovementstotheearly-

seasonprogramme,helpedtodoexactly

that,whiletheQIPCOBritishChampions

SprintproveditselfworthyofaGroup1

update."Lee Mottersheadinthe

RacingPoston19October.

CASE STUDY

29

RACING

THREE-YEAR-OLD SPRINTER MUHAARAR WENT ON TO WIN THE DARLEY JULY CUP, THE LARC

PRIX MAURICE DE GHEEST AND THE QIPCO BRITISH CHAMPIONS SPRINT STAKES AFTER HIS

VICTORY IN THE INAUGURAL RUNNING OF THE COMMONWEALTH CUP. MUHAARAR AND JOCKEY

PAUL HANAGAN ARE PICTURED HERE WINNING THE CHAMPIONS SPRINT.

RUNNERS IN THE COMMONWEALTH CUP HELD AT ROYAL ASCOT FOR THE FIRST TIME IN 2015.

30

Oneofthehighlightsof2015formanyracingfanswasthe

inauguralVeterans’ChaseSeries,whichfeaturedsomeof

oursport’sfavouritehorsesfromyearsgoneby.

Veterans’chaseswerenotanewthing,in

fact,wereintroducedthemtotheprogramme

asClass2handicapsin2008.Whatwasnew

andinnovative,wasstructuringaseriesof

elevenracesworthatotalof£400,000with

a£100,000finalforthosethathadstartedin

oneofthequalifiers.

Wecreatedtheseriestoprovideaboost

toSundayracingandtogivesomeofthe

mostcherishedchasersintrainingachance

tocompeteagainsttheirownagegroup.

Predictably,giventherewardsonoffer,

fieldsizeswerehealthy,withtheaverage

acrossthewholeseriesreaching9.55,

thehighestsince2008.

Therewereotherbenefitstoo,notleastthe

factthatelderchasersstartinginaveterans’

chasein2015subsequentlywentontowin

theBetBrightGrimthorpeChase,theBetfred

GrandNationalTrial,theRymanStationery

HandicapChase,theCoralScottishGrand

NationalHandicapSteepleChaseandthe

CoralWelshGrandNational.Theyalsofilled

fourofthefirst10placesintheCrabbie's

GrandNationalChaseitself–withAlvarado

bestoftheveteransinfourth.

ThefinalatSandownParkon2January2016

wasamemorableevent.Inoneofthestirring

finishesforwhichSandownisfamous,itwas

11-year-oldSoll(forDavidPipeandowner

DerrickMossop,whoalsobredthesonof

Presenting)whoprovedvictoriousina

drivingfinishfrom12-year-oldAachento

baghisthird,andmostimportant,veterans’

chaseoftheseries.

Therecanbenodoubtthiswasafabulous

firstyearoftheVeterans’ChaseSeries,

withsupportfromracecourses,sponsors,

owners,trainers,bookmakers,media,

race-goingandstay-at-homefollowers

ofthesport.Therealstarsoftheshow,

however,weretheveteransthemselves

and,followingthisinitialsuccess,weplan

torepeattheseriesin2016.

VETERANS’ CHASE SERIES

CASE STUDY

9.55Highestaveragefield

sizesince2008

31

RACING

SOLL WINNING THE 32REDSPORT.COM VETERANS' HANDICAP CHASE FINAL AT SANDOWN PARK ON JANUARY 2

AACHEN WINING THE BETBRIGHT CHELTENHAM FESTIVAL FUND VETERANS’ HANDICAP CHASE, DONCASTER

32

InNovember2014,weledacross-industryinitiativetofocuson

reducingracetimeclasheswhichdetractfromourcustomer's

viewingexperience.TheLevyBoardhadestimatedanaverageloss

of£1,500totheLevywhenaraceclashesagainstanotherBritish

orIrishrace.Thisfigurerisestoapproximately£5,000forarace

thatisbroadcastonterrestrialtelevision.

In2014,therewere637racetimeclashes

involvingBritishand/orIrishraces.Ofthese

clashes,358involvedaBritishracestarting

whenanotherracehadyettofinish.

WithfinancialsupportfromtheLevyBoard,

weemployedadedicatedresourcetooversee

racingeachdayandtoco-ordinatedelays

withracecoursestotryandavoidasmany

racesoverlappingor“clashing”aspossible.

CommencingthisinNovember2014,we

achievedareductioninthetotalnumberof

clashesto435,ofwhich214involvedclashes

withBritishraces.

Manyoftheremainingclashesoccurondays

when,duetothevolumeoffixturesandraces,

someclashesareunavoidable.

Itisworthnotingthatrunningonerace

immediatelyafteranotherwillhavethesame

detrimentaleffecttobettingturnoverasa

directclashand,asaresult,wetrytoensure

thatthereisaminimumgapof45seconds

betweenraceswhereverpossible.We

classifyanyracewhichcommenceswithin

45secondsofanotherracefinishingasa

nearclashandwearecontinuingourefforts

toreducesuchoccurrences.

IRE/GB

GB/GB

IRE/IRE

GB/IRE

Type

20152014

CountCount % by Type% by Type

43.8279 50.6

41.3

14.9

0

263

95

0

29.7

19.5

0.2

220

129

85

1

Total 100.00637 100.00435

RACE TIMES

CASE STUDY

33

RACING

Stayers’ Maidens

Wedeveloped10newraceswithenhanced

prizemoneyof£10,000thankstosupportfrom

theBritishEuropeanBreedersFund(BEBF).

Theaim:tohelptoprepareaproportionofthe

two-year-oldpopulationforafuturestaying

career,aswellasprovideencouragement

fortheongoingproductionofsuchhorses.

New Challenger Series

Weannouncedasignificantboostformid-tier

jumpracingwiththelaunchoffivenewseries

ofraces,knownastheChallengerSeries.

TheChallengerSeriesisanexpansionofthe

successfulandpopularGrassrootsJump

Serieswhichwaslaunchedin2011/12.

TheChallengerSeriescomprisesfive

separateseriesthatallowhorsesrated

upto135toqualifythroughatotalof

75racesforafinalsdayatHaydock

ParkonEasterSaturday.Thefinalsday

carriesprizemoneyofabout£265,000.

Anadditionalbonusfundof£50,000willbe

availableonChallengerSeriesFinalsDay

foranyhorsewhichwinsaqualifierand

thengoesontowintheseriesfinal.The

ChallengerSeriesproposalwasraisedand

recommendedbytheJumpRacingReview

whichwasalsocompletedduringtheyear.

Also in 2015

34

GOVERNING ANDREGULATINGHORSERACINGTO HIGH STANDARDS OF INTEGRITY

35

RACEDAY OPERATIONS AND REGULATION


Ourracedayoperationsandregulatoryteamscontinuedtoensurethat

Britishracingwasfairandoperatedtohighstandardsofintegrity.

Throughout2015,wemadeanumberof

improvementstobenefitthesport.

Forexample,weintroducednewstarting

proceduresinjumpracestoimproveboth

controlandfairness,reducingthenumberof

falsestartsinbothhurdleandchaseraces.

Wecontinuedtomoderniseandimprovethe

startingprocessesbytriallinganautomated

falsestartautorecalldeviceatKempton.

Ourracecourseinspectoratecontinuedto

developandtrialanewdesignofapadded

hurdle.Acrossthetworacecoursesinvolved,

TauntonandNewtonAbbot,weexperienceda

reductionintheaveragefallerrateto1.7per

cent,comparedwiththenationalaverageof

2.18percentfortheperiodbetween2005and

2009.Weplantoextendthetrialtoafurther

threeracecoursesin2016.Thisisanexcellent

exampleoftheworkbeingdonetohelp

ensurethewelfareofbothhorseandjockey.

Wecontinuedtoworkoninitiativesto

improveourprocessesandoursystems,

includingdevelopingafastresultssystem

todelivertheofficialresulttothepublic

andstakeholdersfaster.Inthefield,our

EquineWelfareIntegrityOfficerstrialled

anelectronichorseidentificationand

samplecollectionsystem.Afurthermajor

projectin2015wasthedevelopmentofa

newstewardsinformationmanagement

systemdesignedtoenhancethecapacity

andintegrityprovisionofthiskeyfunction.

Wealsoenhancedthestructureofthe

stewardingteamatracemeetingsbycreating

anewpermanent,professionalroleof

Stewards’Secretary,whoarenowpresent

ateachfixture.TheStewards’Secretaries

carryoutadministrativefunctionsinthe

stewards’room,and,crucially,haveincreased

ourresilienceastheypossesstheskills

necessarytoactasasteward,ifrequired.

Duringtheyear,weworkedwiththe

RCAtoadoptanewmethodologyforthe

measurementofjumpracedistancesto

achievegreateraccuracyandtoreflectthe

methodologyalreadyusedatflattracks.

Jumpraceswerepreviouslymeasuredalong

themid-pointofthecourseusingasurveyor’s

wheel,butundertheagreednewmethodology,

theyhavebeenmeasuredalongalinetwo

yardsofftheinnermostrunningrailposition

andprofessionallysurveyedtothenearestyard.

Alljumpracedistancesarenowadvertised

1,740Numberofstewards'

enquiries

Stewards enquiries in 2015:Interference:759(528inbreach)

Whip:548(538)

Running and Riding:433(261)

36

usingboththetraditionaldescription–rounded

tothenearesthalffurlong–alongsideanew,

exact‘baseline’distance,describedtothe

exactyardage.Havingabasemeasurement

meansthatchangestoracedistancescanbe

advertisedmoreaccurately,particularlyiflate

changestotheracinglinearenecessary.This

hasbenefitedtrainers,jockeysandriders,

ownersandbettingcustomers.Asaresult

ofthischangetheCrabbie'sGrandNational

isnowadvertisedas4mile21/2furlong

andremainsthelongestraceinBritain.

Duringtheyear,ourmedicalteamcollaborated

withstakeholderstodeliveracomplete

re-writeoftheBritishHorseracingAuthority

GeneralInstructions(BHAGI)inrelation

toracedaymedicalprovision.Thiswasa

significantprojectwhichbuildsontheexcellent

medicalhealthandwelfareprovisionfor

participants,inparticularjockeysandriders,

thatisalreadyavailableatracecourses.

TheenhancedBHAGIsaredesignedtoassist

racecoursesinimprovingandupdating

manyaspectsofmedicalcareforjockeys

andridersincludingservicessuchas

ambulances,physiotherapyroomsandthe

medications/equipmentavailableinjockeys’

andriders'medicalrooms.Theaimisto

ensurethatracingremainsattheforefront

ofmedicalcareforitsparticipantsinwhat

isahigh-risksportingenvironment.

RacecoursesareinspectedbytheBHA

onanapproximatethree-yearcycle

althoughifanyconcernsareraised,snap

inspectionscanbeundertaken.These

auditsaretoensurecompliancewithour

BHAGIs.Visitsduring2015,whichwerea

mixtureofannouncedandunannounced,

didnotrevealanynon-compliancewhich

couldputjockeyandridersafetyatrisk.

WealsoworkedwiththeLiverpool

JohnMooresUniversitytolauncha

majornewPhDstudyintojockeynutrition

andwellbeing,withtheintentionof

usingthefindingstoeducatejockeysin

betterfitnessanddietarypractices.

Further relationships and studies have

been developed with the following academic

institutions to progress the jockey research

agenda and with the overall aim of having the

scientific evidence base to support the concept

and development of the ‘Jockey Athlete’:

LiverpoolJohnMooresUniversity:The

EffectofDehydrationonCardiacFunction

OxfordUniversity:Epidemiologicalstudies,

TheJockeyStudy–BoneHealthandInjury

QueenMary’sUniversityofLondon:

Interventionstudies,Vestibular

RehabilitationinConcussion

British Horseracing Authority General Instructions key changes:

Annualriskassessmenttoallowcoursestoenhanceminimum

standardstoreflecttheirparticularindividualcircumstances,

includingcoursecharacteristicsandgeographicallocation

Clarityregardingrolesandresponsibilitiesofmedicalstaff

withenhancedregistration,traininganddisciplinaryprocesses

Revisedminimumequipment,drugsandfacilitiesstandards

inlinewithcurrentmedicalpracticeinpre-hospitaltraumacare

Workingtowardsallcourseshavingadedicated

physiotherapyprovision

4m 2½fDistanceoftheGrand

National-Britain's

longestrace

37


STARTER ROBBIE SUPPLE KEEPING AN EYE ON RUNNERS IN THE

GLENFARCLAS HANDICAP STEEPLE CHASE AT CHELTENHAM.

38

Anti-doping

In2015weappointedananti-doping

managertooverseebothhumanandequine

anti-dopingprogrammesandtoensure

Britishracingmaintainsacultureofclean

sport.Thisdevelopmenthasgivenusnew

impetustorefreshtheapproachwetakein

thisimportantarea,tocontinuetoprevent

dopingandtoprotectthereputationofthe

sport.Wearealsokeentolearnfromthe

experiencesofothersports.

Weundertakebreathalyserandurinetests

amongjockeysandridersattheracecourse

andtheracingsschools.Out-of-competition

testingreferstotestingundertakenin

connectionwiththereinstatementoflicences.

During2015,wecarriedout1,016

breathtests,withonepositiveresult,

and295urinetestswiththreepositive

results,allattheracecourse.Afurther

34urinetestswereundertakenatthe

racingschools,withonepositiveresult.

Finally,threetestswereundertaken

inconnectionwiththereinstatement

oflicences,withnopositiveresults.

Onequineanti-doping,amajorachievement

lastyearwasthereleaseofourleadinganti-

dopingpolicy.Thishastheobjectiveofensuring

thatBritishracingremainsattheforefront

oftacklinganissuethatranksamongstthe

biggestthreatsfacedbyanyworldsport.

Theintroductionofournewanti-dopingpolicy

wastheculminationofahugebodyofwork

whichcommencedin2013toestablishhow

Britishracingwouldnotonlyadhereto,but

exceedwherepossible,theinternational

minimumstandardsonanabolicsteroiduse.

Theuseofhairsamplingisanadditional

toolinouranti-dopingarmoury.Althoughit

isnotusedonitsown,itdoescomplement

ourcurrentprogrammeofdetectingand

deterringdopingbyhelpingtodetect

substancesthathavebeenusedoveran

extendedtimeframe,andbyprovidingan

informedbasisforfurtherinvestigation.We

continuetosupportresearchintohairtesting.

Aftertheannouncementofournewanti-

dopingrules,wecarriedoutaprogrammeto

contactthoseaffectedbythenewrules,both

domesticallyandinternationally,toensure

thatthereexistsawarenessacrossworld

racingoftherequirementsoftherules.This

includedthepublicationofacomprehensive

guidewhichexplainedtothosewhoare

responsibleforahorse,whattheymustdo

toensuretheyadheretotherules.

Concussion

Concussionremainsanimportanttopicin

sportingeneralandparticularlyinracing

wherewehaveoneofthehighestconcussion

ratesperminuteofparticipationofanysport.

Historically,wehavehadarobustprotocolfor

bothpre-competitionscreeningandpost-

concussiontestingwithclearguidelineson

returntosport.Toensurebestpractice,these

protocolsaresubjecttoreviewandweare

planningtolaunchaneducationprogrammeto

remindallmembersoftheracingcommunity

oftheseriousnessofconcussionandofour

collectiveresponsibilitytomanageitcorrectly.

Equine welfare

“TheBHAisrecognisedaroundtheworld

ashavingimplementedahighstandard

inequinecare.”The Environment, Food

and Rural Affairs Select committee

in Parliament,February2016

Oneofthemainreasonswehavepushed

sostronglyfortheintroductionofanew

fundingmechanismforthesportisto

safeguardthevitalveterinaryresearchand

educationfundingtheindustryprovides.

1,016Breathtestswere

undertakenwithone

positiveresult

39


Equinewelfareleadership,improved

benchmarkingofracehorsewelfare

information,andimprovedcommunicationof

ourworkunderpinnedouractivitiesin2015.

Ourvetswerepresentateveryoneofthe

fixturesheldin2015.Oneoftheirdutiesis

therecordingofallinjuriesandfatalitiesthat

occurontheracecourse.Thisprovidesa

benchmarkfromwhichtheindustrycontinually

strivestoreduceinjuryrates,whilewealso

publishdataoninjuriesandfatalitiesas

partofourcommitmenttotransparency.

Britishracinginvestsconsiderableresource

inensuringthatthehighstandardsofequine

welfareitdemandsfromallofitsparticipants

aremaintained.Thisincludesourrequirement

withintheRulesofRacingfortrainerstotake

allreasonablestepstoensurethesafety

andwelfareofallhorsesundertheircare

orcontrol(whetherornottheyarecurrently

intraining),ourunannouncedstablevisits

toconducttestingorchecksonracehorse

welfare,andalsobeingoncourseeachrace

daytoidentifyhorsesuponarrival,monitor

activityinthestableyardandprotectthe

welfareofhorsesthroughouttheday’sracing.

Ourcross-industrycampaign,TheHorse

ComesFirst–supportedbyracecoursesand

horsemen–hasbeeninstigatedtogetthe

messageouttoourindustry,oursupporters,

thewiderequinesector,thegeneralpublicand

politiciansthatBritishracinghasarecordon

equinewelfaretobeproudof.

Whileweareproudofourrecordonequine

welfare,wearefarfromcomplacent.Seepage

64forfurtherinformationonTheHorseComes

Firstcampaign.

“ Over the last 15 years, the equine fatality rate in British

racing has fallen by a third. The reduction has been achieved,

in part, through the electronic collection of injury data and

post-race analysis. This data is widely shared with epidemiological

specialists who look at tracks or jumps linked with high

incidences of injury and proactively recommend remedial

action based on the analysis.”

EnvironmentFoodandRuralAffairsSelectCommittee

40

ON RACEDAY

Ourpeoplearevitaltotheeffectiveandsaferunningofevery

racemeetinginBritain.Ourteamofstewardsandstarters,

clerkofthescales,veterinarians,equinewelfareofficers

andjudgescarryoutessentialrolestomakesurethatevery

raceisfairandcompetitive,therulesareupheldandthatthe

welfareofhorsesandparticipantsistakencareof.

Ourdaystartsearly.Ashorsesarriveattheracecourse,

ourEquineWelfareIntegrityOfficer(EWIO)teamis

onhandtoscaneachhorse’smicrochipandtocheck

its‘passport’tomakesurethatthecorrecthorse

hasbeenbroughttothetrack,andthatvaccinations

areup-to-date.EWIOsworkwiththeon-course

stafftoassignthenewarrivalstotheirstables.

About70minutesbeforethefirstrace,allBHA

racedayofficialsmeetforabriefing,alongwith

theClerkoftheCourse.It’sherethatimportant

informationissharedabouttherunnersandriders

tomakesuretheracesrunsmoothly.Factorsthat

mightbediscussedincludewhetheranyhorses

haveahistoryofcausingproblemsatthestartofa

race,anywelfareissuesorrecentchangesinform,

bettingmarketsandfirsttimerunnersandriders.

Asthehorsespreparetoenterthepre-paradering,

intheweighingroomtheClerkoftheScalesweighs

outeachjockeytoensuretheyrideattheirassigned

weightandtrainerscollectsaddlesfromthejockeys.

Whilefinalpreparationsarebeingmadeintheparade

ring,stewardsandvetsareamongsttheaction,

lookingoverhorses,checkingthatthecorrectgear

isbeingwornandthathorsesarefitforracing.

Whenthebellringsout,jockeyssteertheirmounts

outontothecourseandheadforthestart.

Atthestart,thecourse’sstallsteamorhandlers

willcheckgirthsandthestarterswillhelp

jockeysgettheirmountreadytostart.

Oncethehorsesarelinedup,orinthestalls,

thestartersetstheraceinaction.

41


Meanwhilethejudge,whohasthebestviewof

theracecourse,checksovertherunnersand

ridersfordistinguishingcoloursormarksthat

willhelpinplacingthehorsesinaclosefinish.

Iftheraceistooclosetocallbyeye,therace

judgetakesaphotobeforehecallsthefinish.

Oncetheraceisoverthehorsesandjockeyswill

returneithertothewinner'senclosureortothe

washdownarea.Veterinarianswillcheckover

horsestoensureallhaverecoveredwellandmay

eventestanumberfromthatrace.Ateachmeeting,

atleastfivehorses,selectedbythestewards,are

testedbythevetstoensuretheyhavenotraced

withanyprohibitedsubstancesintheirsystem.

Meanwhile,thestewardswillassessanyissue

detectedwithintheraceandwherenecessary,

bringjockeysortrainersiniftheyrequirefurther

informationabouttherun.Whenastewards’hearing

iscalled,whichcouldaffecttheplacingsorleadto

arunnerbeingwithdrawn,abellringsoutacross

thecoursetosignalaninquiryhasbeencalled.

Stewardsarelookingatwhethereachhorsehasbeen

runonitsmerits,whetheranycasesofinterference

mighthaveaffectedthefinalpositionsofthehorses

andtomakesuretherehavenotbeenanybreachesof

therules.Theywillreplayaraceseveraltimesbefore

satisfyingthemselvesthattheracecanbeclearedor

decidingthattheydoneedtocallaformalenquiry.

Whilethisisoccurring,jockeysarebeingweighed

backinbytheClerkoftheScalestoensure

theyhavenotlostorgainedanyweight.

42

Background:In2011weundertookacomprehensivereviewof

thewhiprulesinconsultationwithstakeholders,andconcluded

thatthecurrentdesign,togetherwitheffectivecontrolsonitsuse,

didnotcompromisethewelfareofhorses.

In order to reduce the number of offences, instigate a

cultural change in riding style among British riders,

promote good horsemanship and safeguard the welfare of

horses and public perception of the sport, we:

Reducedthepermittednumberofuses–sevenforflat

andeightforjumpracing

Introducedanewpenaltystructure

Providedstewardswiththediscretiontoassesstheride

anduseofthewhipasawhole

Figures for 2015, compared with those in 2010 (the

last full year before the introduction of the current

rules) show that:

Despiteeffectivelyhalvingthethresholdthattriggersthe

stewardstoreviewarideforuseofthewhip,totalwhip

offenceshavereducedbyalmosthalf(48percent)since

2010,from1,029(outofatotalof92,025rides)to538in

2015(outofatotalof88,075rides),continuingalong-

term,downwardtrend

In2015,thenumberofwhipoffences,expressedasa

percentageoftotalrides,was0.61percent,compared

with1.12percentin2010

Casesofinterferencehavefallenby40percentsincethe

introductionofthenewrules

In2015,thenumberofinstanceswheretheuseofthe

whipresultedinjockeysuspensionsofmorethanseven

daysfellbyathirdto41,comparedto2014

Justthreehorses(or0.003percentofthetotalnumber

ofrunners)werewealedasaresultofwhipusein2015,

comparedtoanaverageof20ayearbeforetheBHA

amendedtherules.Veterinaryofficersexaminehorses

aftereachraceandreporttothestewardsanyhorsethey

believehasbeenwealedasaresultoftheuseofthewhip.

Asapercentageoftotalrides,whipoffencesare

proportionatelyhigherforflatracing(0.41percentofall

rides)thanforjumpracing(0.2percentofallrides)

Statisticsforthetopfivejumpjockeysin2015showthat

betweenthemtheyincurredjustfiveoffencesoutofatotal

of3,896rides(0.12percent),withtwooutofthetopfive

jumpjockeysnotincurringanywhipoffencesatall

In72GrouporGrade1racesin2015,sixwinningrides

incurredawhipsuspension(2014:4).Between2014and

2015,thetotalnumberofwhipsuspensionsinthese

typesofracesrosefrom13to22.

What next?

Ourviewisthat,overall,thenewrulesandpenalty

structurehavehadasignificant,positiveeffectonjockey

behaviour,reducingthenumberofwhipoffencesand

safeguardingthewelfareofracehorses.Wearecontinuing

tomonitortheuseofthewhipwithbothhorsewelfareand

publicperceptioninmind.

THE WHIP: A WELFARE ISSUE, NOT A WELFARE PROBLEM

CASE STUDY

43


48%Totalwhipoffences

havereducedbyalmost

halfsince2010

JOCKEY AIDAN COLEMAN AND EMPEROR'S CHOICE ON THEIR WAY

TO WINNING THE BETFAIR HOME OF PRICE RUSH HANDICAP CHASE

AT HAYDOCK, IN FRONT OF DANNY COOK ABOARD LACKAMON.

44

KEEPING OUR SPORT FAIR AND CLEAN

45

INTEGRITY

INTEGRITY

Anessentialpartoftheworkwedoisconcernedwithmaintaininghigh

levelsofintegrityinhorseracing.Thiscreatesalevelplayingfieldforall

participantsandhelpstomaintainpublicconfidenceinoursport.

Ourwillingnessandabilitytoinvestigate

issuessuchasrace-fixing,corruptbetting,

dopingandotherseriousrulebreacheshelps

toensureoursporthashighlevelsofintegrity.

Whileitisonlyaverysmallminorityof

peoplewhosetouttobreaktherules

deliberatelyinordertogainanunfair

advantage,ourmessagetoanyone

temptedtobreaktherulesremainsclear:

itissimplynotworthit,astherisksfar,

faroutweighthepotentialrewards.

Our work in this area includes:

Live-timemonitoringofracing,the

bettingmarkets,andsourcesof

informationsuchassocialmedia

Licensingandpermittingthesport’s

jockeysandamateurs,trainers,registering

ownersandmembersofstablestaff,

inspectingtrainers’premisesand

assessingthemagainsttherequired

standards.Wealsolicenceriders'

agents,valetsandequinepools.

Conductinginvestigationsintopotential

breachesoftheRulesofRacing,

andsubsequentprosecutions

Reviewingracesalreadyruntocheck

forpossiblebreachesoftheRules

ofRacing,withaviewtopotentially

reopeninginfrontofadisciplinarypanel

Runningthesport’santi-doping

programmesforhorsesand

professionaljockeysandamateurs

Inthecourseof2015,wetooka

numberofsignificantstepstoensure

thatracingremainscleanandfair.

Werecognisetheimportanceofeducatingall

riders,trainersandownersabouttherules

andhowtocomplywiththem.Duringthe

year,ourstaffgavemorethan50integrity

talkstogroupsofpeopleacrosstheindustry.

Wealsorolledoutaneducationalvideo

featuringFergalLynchtalkingabouthis

experienceofbecominginvolvedincorrupt

activity,whathelearnedfromthatandthe

advicehenowgivesyoungjockeystohelp

themtoavoidmakingsimilarmistakes.

Wehavecontinuedtomakeourcollectionof

intelligenceandourinvestigativeprocesses

moreeffectiveandefficient,including

developingnewsoftwareformonitoring

bettingactivity,andalsoasystemforsecure

electronicsharingofinformationbetweenthe

IntegrityteamandtheBHAracedayteams.

Wehavealsosoughttobemorerobust

andtoactswiftlywhenfacedwithnon-

cooperationduringourinvestigations.

50Industry-wideintegrity

talksheld

46

Theintelligenceledrisk-basedapproachtostable

inspectionshasledtoafurtherdropinthenumber

ofHighRiskinspectionswhichhavenowreduced

by12percentsinceimplementation.

Ourteamofstableinspectorshaveconsistently

contributedtotheeducationalprogrammesat

BritishRacingSchoolandNorthernRacing

College,speakingonmorethan40occasions.

Durring2015,wecompletedtheprocessofmoving

ourlicenceandpermitapplicationsonline.This

meansthatalllicensingapplicationsarenowmade

throughanonlinesystem,witheachapplicant

beingabletoaccesstheirowndetailssecurely.

Wearecurrentlyreviewingthetrainingprovidedto,and

ourindustry'srequirementforjockeys.Oncurrentfigures,

fluctuationsinthenumberofflatandjumpjockeysis

quitesmallandwehavemorenowthan10yearsago.

Wedonotconsiderthedeclineinapprenticejockeysto

beanissue,withthegeneralconsensusthatcurrent

numbersoutstripdemand.Wearemonitoringclosely

thenumberofconditionals,althoughthedecreasehere

isbalancedoutbytheincreaseinCategoryBriders,

someofwhomgoontotakeoutaprofessionallicence.

RUNNERS BEFORE THE KINGDOM OF BAHRAIN SUN CHARIOT STAKES AT NEWMARKET.

47

INTEGRITY

PROFESSIONAL JOCKEYS

AMATEUR RIDERS

ALL RIDERS - PROFESSIONAL AND AMATEUR

Flatjockeys

A-Flatonly

2012

2012

2012

2011

2011

2011

123

56

125

58

120

49

136

29

133

41

139

30

94

104

110

189

99

119

97

218

97

97

101

176

2013

2013

2013

2015

2015

2015

129

51

122

55

137

28

126

55

95

94

106

173

93

107

100

217

2014

2014

2014

Apprenticejockeys

A-Jumponly

Jumpjockeys

A-Dualpurpose

Conditionaljockeys

Category A - Total

463454 457467 441Total

151

340

153

371

131

307

137

310

156

373

CategoryB

Total

803825 764777 814Total

TRAINERS

Flatonlylicences

20122011

4041 47

4946 51

468

557

119

494

581

136

461

559

101

2013 2015

41 47

52 52

465

558

112

452

551

34

2014

Jumponlylicences

Combinedlicences

Permitstotrain

All licensed trainers

676717 660670 585Total

Note:Thesefiguresarebasedontheaveragenumberofindividualslicensed/permittedbymonth,whichdifferslightlyfromthenumberoflicencesissued.

48

DISCIPLINARY PANEL CASES

*4peopleforunpaidtrainingfees;9forarrearstoracing.Ofthetotal13,7havesubsequentlypaid.**6upheld;5upheldinpart;15dismissed(ofthe15dismissed,11depositsreturnedand4forfeited).***Includingpoint-to-point.Note:NotallinvestigationsgotoComplianceorbecomedisciplinarycases.Somecasesarefinalisedbywarnings

togetherwitheducationaladvice,someinvestigationsareameansofassessingaperson’ssuitabilitytobelicensedorregisteredandsomeinvestigationsareclosedafterenquirieswithnocasetoanswerorunfoundedallegations–thisoccurredinanumberofreportedwelfarecases.

Exclusionorderbythedisciplinaryofficer(4indefinite,1until18October2016)

Appealsfromracecourse**

Total exclusions / disqualifications

Total

2015

5

26

26

96

3

37

5

7

2

13

26

Exclusionfollowingdisciplinaryhearing

Referralsfromracecourse

Disqualificationfollowingdisciplinaryhearings

Otherdisciplinarycases***

Appeal board

Disqualificationsfordebts/arrears*

Compliancecasesfromintegrity

INVESTIGATIONS

Intelligence 3,500

113

2015

3,126

102

2014

Investigationsopened

2015 Investigations

17%Bettingcorruption/Insideinformation

5%Allegationofcrime

15%Equinepositives

4%Jockeypositives

22%Equinewelfare/Veterinary

12%Licensing

24%Otherintegrityissues

1%Jockeymobilephonebreaches

49

INTEGRITY

ANTI-DOPING

Wecontinuetobeintelligence-ledinour

activities,includingourtestingprogramme,

andtheworkofourstableinspectingofficers

incompilingrelevantdatahasbeencrucialin

helpingustodothatevenmoreeffectively.

Wecarriedoutanextensiveprogramme

ofequineracedayandout-of-competition

testing,theresultsofwhichareshown

below.Webelievethisisanimportant

deterrentinouranti-dopingwork.

The14adverseanalyticalfindingswerefor

substancesprohibitedonraceday,ratherthan

substancesprohibitedatalltimes,i.e.those

therapeuticsubstancesthatcanbeused

legitimatelyintrainingbutarenotpermitted

tobeinthehorse’ssystemonraceday.

Whilewewillneverbecomplacent,the

figuresshowthatourextensivetesting

programmedidnotfindanyinstancesof

deliberatedopingin2015.

Note:Alladverseanalyticalfindings(post-race)forprohibitedonracedaysubstances.*Figuredoesnotincludeoneadverseanalyticalfinding(post-race)foraprohibitedonracedaysubstanceinapoint-to-pointsample.

EQUINE PRE- AND POST-RACE TESTING

EQUINE OUT-OF-COMPETITION TESTING

Numberofraces

Samplesanalysedinyards

Adverseanalyticalfindings(pre-race)

2015

2015

10,041

704

0

88,078

323

1,490

14

195

463

0

0.00%

0.00%

8,475

0.17%

Numberofrunners

Internationalrunnersandpermanentimports

Total

Adverseanalyticalfindings(post-race)*

Analysed(pre-race)

AnabolicsteroidtestingatpublicauctionsinBritain

AdverseAnalyticalFindings(Prohibitedatalltimes)

%AdverseAnalyticalFindings(Prohibitedatalltimes)

%Adverseanalyticalfindings(pre-race)

Analysed(post-race)

%Adverseanalyticalfindings(post-race)

50

Thenewequineanti-dopingrulesgive

usgreaterpowerstoaccessregistered

horsesfortestingpurposes,andmore

stringentpenaltiesforpeoplefoundto

haveadministeredprohibited-at-all-times

substances,andastand-downperiodfor

thehorseconcerned.

The Rules apply to:

Anabolicagents

Substancesnotapprovedforveterinaryuse

Peptidehormones,growthfactorsand

relatedsubstances

Hormoneandmetabolicmodulators

Manipulationofbloodandbloodcomponents

Bloodtransfusions

Geneticandcellularmanipulation

Oxygencarriers

Weworkedextensivelytorolloutthenew

rulesandaccompanyingguidance,andto

introduceassociatedinitiativessuchas

anti-dopingtestingatthesalesinBritainand

overseas,andtestingofinternationalrunners

andpermanentimports.Wewillcontinueto

workhardinthisareatoaddressbothcurrent

andemergingthreats,andtocontinueto

takealeadershiproleinternationally.Agood

exampleofcross-bordercollaborationisour

ground-breakingworkwithRacingVictoriain

relationtotheircobaltcases.

Wetested59internationalrunnerslast

year-33byregulatoryveterinariansintheir

homecountrypriortoarrivinginBritainand

26byourveterinarysurgeonsonarrival.In

addition,wetested264horsesforpermanent

importpurposes.Thisfigureexcludeshorses

sampledatKeenelandintheUSA,whichwere

countedasthepermanentimportsampleif

thehorsewasimportedwithin60days.

Incollaborationwiththesaleshouses,we

introducedanabolicsteroidtestingatpublic

auctionsinBritainfromAugust,testing463

horsessoldatmajorBritishsales.

59Internationalrunners

weretestedlastyear

463Horsessoldatpublic

auctioninBritaintested

foranabolicsteroids

51

INTEGRITY

Aracehorsemustnotbeadministeredany

substancethatisprohibitedatalltimes,including

anabolicsteroids,atanypointinitslife.

Anyhorseadministeredanysubstancethatis

prohibitedatalltimes,includinganabolicsteroids,

willfaceamandatorystanddownperiodfrom

trainingfor12monthsandwillbeineligibleto

startinanyraceinBritainfor14months.

Allhorsesmustbeavailablefortestingatanytime,

regardlessofphysicallocationandwhosecarethe

horseisunder,fromthetimeitisfirst

registeredwiththeGeneralStudBook.

TheResponsiblePersonwillbethetrainerwhile

thehorseisundertheircareorcontrolandthe

owneratallothertimes.Theownerofahorse

notyetintrainingshallbepresumedtobethe

breederofthehorseunlessprovenotherwise.

AllhorsesborninBritainmustberegisteredwith

Weatherbyswithin12monthsofbirth,andfrom2017,

withinsixmonthsofbirth.Permanentlyimported

horsesmustberegisteredwithWeatherbyswithin90

daysofarrivalinBritainaccompaniedbyasample

thatshowsnoevidenceofadministrationofanabolic

steroidsorothersubstancesprohibitedatalltimes.

Duetotheirlike-policies,horsesimportedfromIreland,

France,Germany,SwedenandHongKongwhichhave

spent12monthsundertheirequivalentpolicieswillbe

exemptfromthisrequirement.Likewise,runnersfrom

Ireland,France,Germany,SwedenandHongKong

willbetreatedasBritishrunnersandsampled

asperthestandardtestingpolicy.

AllotherforeignrunnersmustbeinBritain(andthe

BHAnotifiedoftheirwhereabouts)aminimumof10

businessdaysinadvanceoftheirintendedraceto

facilitatepost-arrivalsamplingandanalysis,theresults

ofwhichwillbereceivedpriortothehorserunning.If,

inexceptionalcircumstances,ahorseisnotabletobe

presentinBritain10businessdaysbeforeracingand

theBHAhasconsentedtoalatearrival,thenitmustbe

testedbeforebeingimported.Thesamplemustshowno

evidenceofadministrationofanabolicsteroidsorother

substancesbannedatalltimes.Whenthehorseruns,

itwillalsobesubjecttothestandardtestingpolicy.

Summary of the new anti-doping rules

52

INTEGRITY REVIEW

Thereviewfocusedonhowwecancontinuetodevelop

amodernandcontemporaryapproachtointegrity;

improveefficiency,consistency,andcommunication;

demonstrategreateropenness;andshowthatwearefair,

accountableandintunewithoursport'sparticipants.

Keyelementscoveredbythereviewincludedthetimeliness

ofinvestigations,casemanagementandprocessingof

applications;communication;participantengagement

andeducation;internalprocessesandperformance

monitoring;andtechnologicalthreatsandopportunities.

Overall,thereviewconfirmedthatagoodlevelofintegrity

existswithinBritishhorseracing.Italsoidentifiedaneed

fortheBHAtoreviewitsdisciplinarystructureandto

furtherimprovesomeaspectsofoperationaldelivery

inordertomaintainandincreasetheeffectiveness

ofitsintegrityfunctionandconfidenceinit.

Integrity recommendations:

1.Theestablishmentofastakeholderintegrityforumto

actasanadvisorygroup,formingaunitedfronttohelpkeep

corruptionoutofhorseracing.Membershipwillinclude

licensedpersonnelandotherfigureswhohaveexpertise

andinsightintothisarea.TheywillalsoholdtheBHAto

accountontheimplementationoftheserecommendations.

2. Improvementstobemadetotheinvestigation,case

managementanddisciplinaryprocess,includingproviding

aformalinvestigationchartertoeveryoneinvolvedin

aninvestigation,attheoutset,whichwillclearlysetout

theirrightsandobligationsandwhattheycanexpect

fromtheprocess,aswellasacodeofconduct.

Wewillalsodevelopafast-trackprocesstodeal

withminororadmittedoffencesoutsidethefull

disciplinaryprocess,withformalcautionsand

agreedsanctions.Alsoitwillcarryoutareviewof

thelevelofpenaltiesforminorrulebreaches.

3. Formalisinganewintegritystrategywhichhas

atitscoretheobjectivetodomoretoeducateand

protecttheoverwhelmingmajorityofparticipants

whocomplyoraretryingtocomplywiththerules.

4. Workingcloselywithstakeholderstoreview

thestructure,compositionandprocessesof

theDisciplinaryPanel,LicensingCommittee

andAppealBoardtomakesurethatthesport’s

participantshavefullconfidenceinthem.

5.Lookatwhatimprovementscanbemadetothe

wayinwhichthemedia,racingandbettingpublic

andthesport’sparticipantsareinformedonwhatthe

BHAaredoingtoprotecttheintegrityofthesport.

6.Extendourpartnershipswithotherorganisations

acrossthebettingindustry,otherracing

jurisdictions,othersportsandregulatorsin

ordertoincreaseouraccesstointelligence.

DuringtheyearwecarriedoutanIntegrityReview,asubstantial

pieceofworkinwhichweconsultedwithmorethan100individuals

fromracingandthebettingpublic,andsubjectedourfindingsto

robust,externalchallengebyapanelofleadingexpertsfrom

thefieldsofsport,regulationandalsoourownindustry.

53

INTEGRITY

54

LOOKING AFTEROUR PEOPLE

55

INDUSTRY PEOPLE AND DEVELOPMENT


Werecognisethatthepeoplewithinracingarecriticaltotheongoing

successofthesportandwearecommittedtosupportingtheirneeds

andalsothecommunitieswithinwhichtheyoperate.

Asportasdiverseandextensive

asoursrequiresahighly-skilled

workforceandonewithopportunities

forfurthertrainingandprogression.

Whilefocusingongrowthandexpansion

opportunitiesforourparticipants,itisalso

importantthatwehelpsupportthewelfare

requirementsofallparticipantsandprovide

cross-industrysupport,whileencouraging

newpeopleintotheindustry.

Our work in this area includes:

ImplementingandoverseeingRacing

Together,thesport’scommunity

engagementprogramme,anditsvisionof

beingaforceforgoodinlocalcommunities

Workingwithvariouswelfarecharities

toensurethewelfarerequirements

ofallracing'sparticipants,including

studandstablestaff,jockeysand

trainers,aretakencareof

Managementoftraining, development

and career progressionforjockeys,

studandstablestaff

Runningthesport’spremieremployment

hub,careersinracing.com

During2015wewereinvolvedwith,and

ledanumberofsignificantprojectswhich

continuetofosteranddevelopourpeople

andcelebratetheexcellentworkofracing

withinthecommunity.

Education

Educationisacornerstoneofourcommunity

engagement,butalsoourworktofoster

talentandinterestinthesport.

WithfundingfromtheHorserace

BettingLevyBoard(HBLB)weincreased

engagementwithequinecollegestudentsby

deliveringcareerslectures,reachingmore

than500studentslastyear.Wealsoformed

partnershipsandundertooksponsorship

activitywiththePonyRacingAuthority

andThePonyClubandcareersadvice

programmessuchas‘Notgoingtouni’.

Training and Development

Training,developmentandcareerprogression

forjockeys,studandstablestaffisatthe

heartofourvocationalandjockeytraining

strategies.Atthesametime,maintaininga

workforceofpotentialandsuitablecandidates

intotheracingindustryremainsasignificant

challenge,especiallywhenpromotingcareers

toyoungpeopleofschoolage.

500Studentsreached

throughourcareer

lectures

56

As part of our ongoing commitment to

maintaining and growing the industry’s

workforce, we have:

Continuedrefinementofthecareersinracing

website,whichprovidesanongoingpipeline

ofpotentiallysuitablecandidates,attractinga

newworkforceandaidingcareerdevelopment.

Therewere342,000visitstocareersinracing.

comin2015,ariseof16percenton2014.

Launchedatrialofemployer-ledtrainingin

2015,withaminimumof20placesavailable

in2016.ThisProgrammeisagatewayforover

19stoentertheindustrywhoarenolonger

eligibleforgovernmentfundingorthroughthe

ApprenticeScheme.

UndertakenstrategicworkwithEquine

Colleges,thePonyRacingAuthorityand

PonyClubstoengageyoungpeoplewith

aninterestinhorses.

Expandedtheintegratedmarketing

planunderthecareersinracingbrand,

withinitiativessupportedbyand

developedwithstakeholders.

EnhancedJockeytraininganddevelopment

throughtheintroductionofpersonal

developmentplanningforapprenticeand

conditionaljockeys,aligningthemwithother

professionalsportsmenandwomen.

Reviewedracing’swell-established

andinternationally-recognisedtraining

programmes,whichledtocurriculum

review,increasedaccesspointsfornew

entrantsandcollaborativetraininginitiatives,

withfurtherexpansionplannedin2016.

Ensuredthatmorethan1,000individualswere

abletoaccessindustry-specifictrainingin

2015withalmost800registeringforracing-

relatedqualifications.

WealsoworkedwiththeHBLBandthe

UniversityofLiverpooltocreateanewMBA

qualificationdesignedforindividualswishingto

developtheircareerintheindustry.Thecourse

isthefirstofitskindinracingandcombines

themodulesofaworldclassMBAwiththe

specialistneedsoftheBritishandglobal

horseracingindustry.

Thecoreelementsoftheprogramme

includeleadership,strategy,managingthe

environment,innovation,entrepreneurship

andmanagingfinancialresources.Each

candidatewillalsogainunderstandingof

managementofracecoursesandtraining

centres,marketing,advertising,sponsorship,

bloodstockmanagementandveterinaryissues.

Thecourseoffersvocationaltrainingthrough

industryplacementsandvisitstoracecourses,

studs,trainingfacilities,mediacompaniesand

companiesinthebettingindustry.

Welfare

Theday-to-daywelfareofallofracing’s

participantsisofparamountimportanceto

us.Aspartofourcommitmenttoourpeople

–includingstudandstablestaff,jockeys

andtrainers–duringtheyear,werecruited

aWelfareDevelopmentManagertoprovide

coordinationandstrategicoversightofwelfare

initiatives,creatinganenablinglinkbetween

theBHAandtheorganisationsthatprovide

welfareservicestotheracingworkforce.

Furtherkeydevelopmentsin2015included

majorenhancementstoinjuryrehabilitation

andoccupationalwelfareservices,anongoing

reviewofinsuranceandemployeebenefits,

andaRacingFoundationpledgeof£1million

tofundfurtherwelfareinitiativesuntil2017.

Ontopofthis,wesecuredafurther£1million

offundingfromtheRacingFoundationfor

aPeopleDevelopmentPlanforRacing's

Workforcewhichwillincludeenhancedcareers

marketing,careersadviceandtrainingservice,

personaldevelopmentplanningforjockeysand

accessiblelearningforstudandstablestaff.

£1million

SizeofRacing

Foundationpledgeto

fundwelfareinitiatives

57


Tickets for Troops

WehaveworkedwithTicketsforTroopssince2010byarranging

freeadmissiontoracingforservicemenandwomenthanksto

thegenerosityofBritain’sracecourses.

In2015,7,738 tickets were used by members of Tickets for Troops

providingservicemenandwomentheopportunitytoenjoyafree

raceday,includingtosomeofthesport’spremierracingevents.

TicketsforTroopsisacharitythatsupportstheworkofserving

militarypersonnelandveteranswhohavebeenmedically

dischargedfromtheForcessince2001,byofferingticketsto

someofBritaintopsportingandentertainmentevents.

Community engagement

ThroughRacingTogether,weseektogive

somethingbacktothecommunitiesinwhich

racingoperatesandensurewearedelivering

onourobjectiveofbuildingaprosperous

futureforoursport.

In2015wepartneredwithActive

CommunitiesNetwork,anationwidegroup

empoweringyoungpeopleatriskandoutof

workoreducation,toengagewithnewareas

previouslyuntouchedbyracing,includingthe

provisionofsports-basedsocialdevelopment

programmesandemploymentpathways

basedonkeygeographichubs.

Wewerealsoinvolvedwithatwoyearpilot

programmeinwhichAintreebecamethefirst

BeaconRacecourse,aprojectwhichaimsto

buildstrongerrelationshipswithlocalchildren

andtheircommunitiesthroughinitiatives

whichincludeeducationalschemes,hands-on

ponydaysandworkexperienceopportunities.

Racingbenefitsfromahugeamountofvolunteer

work.Toacknowledgethisandtogivesomething

backtothecommunity,racingdonatedupto

300hoursofvolunteertimeacrossthecountry

aspartofthenationwideGiveandGainDay.

“OurvisionforBritishracingisquitesimplyto

beseenasaforceforgoodandrecognisedas

outstandingamongsportsforourcontribution

tothecommunitiesinwhichweoperate.”

Sean O’Connor, RacingTogether’s

CommunityEngagementManager

RacingTogetherisaninitiativedesignedtoenhanceand

coordinateracing’scommunityengagement.Weleadand

implementtheprogrammewhichisdefinedbyfourpillars,

being:racing,educationoutreach,locallifeandhelpingothers.

58

REPRESENTINGOUR SPORT

59

COMMUNICATIONS AND CORPORATE AFFAIRS


Aspartofourcommitmenttogrowingoursport,werepresentand

advocateonbehalfofthewholeindustrytoGovernmentandexternal

organisationsinordertoensurethatBritishracing–amajorsport

andsignificantemployerintheBritishruraleconomy–cangrow.

2015wasapivotalyearforBritishracingwith

regardstoitspoliticalengagement–with

Governmentcommittingtotheintroduction

ofareplacementfundingmechanismforthe

HorseraceBettingLevyintheMarchBudget.

Weco-ordinateddevelopmentofacross-

industryresponse,andassociatedgrassroots

representationstoMPsandtheDepartment

forCulture,MediaandSport(DCMS),

duringtheconsultationontheproposed

HorseraceBettingRight,andsecuredthe

supportofallmajorpoliticalpartiesin

Westminsterbehinditsintroduction.

The2015GeneralElection,withthe

ConservativeParty'smajorityvictoryandthe

gainsoftheScottishNationalParty,brought

significantchangestoBritain'spolitical

map.Thisalsohadamajorimpactonracing

withaquarterofBritishracecourseshaving

newconstituencyMPsfollowingthevote.

Weledasignificantprogrammeofengagement

withnewandreturningMPsacrossthesport’s

substantialconstituencyfootprintintheweeks

aftertheGeneralElection,aimingtomaintain

cross-partysupportfortheindustry.This

helpedsecureafurthercommitmentfrom

theChancellorinhispost-electionBudget

tointroduceaHorseraceBettingRight.

Aside from the key issue of the funding of

the sport, further highlights of 2015 include:

ParticipationinaJuly2015Europeanand

MediterraneanHorseracingFederation

delegationtoBrussels,meetingwith

EuropeanCommissionOfficialsand

MembersofEuropeanParliament

ANovember2015Parliamentaryreception

–attendedbyrepresentativesfromacross

Britishracingandthemajorpoliticalparties

inWestminster–andotherParliamentary

briefingsandeventsthroughouttheyear

Co-ordinatingsubmissionsonbehalfof

thesporttoanumberofGovernmentand

Parliamentaryconsultationsincluding

gamblingpolicy,apprenticeships,

thesecondaryticketingmarket,

BBCCharterrenewal,DCMSsport

strategyandgreyhoundwelfare

Assistingtrainersandracecoursesinlocal

politicalengagementandrepresentationsto

planningauthoritiesonavarietyofissues

60

“ British racing is a massive success story and I wanted to come

and see and hear about it for myself. It’s an industry worth over

£3 billion, employs well over 100,000 people. It’s now the second

most popular sport – racing – after football in our country.

This is a success story… and we want to make sure it’s continued.”

Prime Minister, Rt. Hon David Cameron MP, Newmarket Heath – February 2015

61


Horserace Betting Right

Inthe2015Budget,theGovernment

confirmeditscommitmenttointroducea

HorseraceBettingRightwhichwouldresult

inafairreturntoracingfromallbetting

operatorsontheiroffshoreandremote

activity,activitywhichcurrentlyfallsoutside

thescopeofthecurrentLevysystem.

Weledracing’sengagementwithGovernment

andParliamentarians,withtheactivesupport

andinvolvementoftheRCAandHorsemen’s

Group.Therehasbeenregularcontactsince

October,includingaParliamentaryreception

heldbyracinginNovember.

TheGovernmenthasrecentlyannounced

itsintentiontointroduceaLevyreplacement

byApril2017.

Inpartnership,wewillcontinuetorepresent

theimportanceofthereplacementbeing

introducedassoonaspossibleandworkwith

Governmentonthedetailofthenewsystem.

Godolphin Stud and Stable Staff Awards

WeruntheGodolphinStudandStableStaff

Awardsannuallywithsupportfromthe

RacingPostandthankstothegenerous

sponsorshipofGodolphin.

Theawardsceremonyhasbecomean

increasinglyprestigiouseventwhich

reflectstheimportanceofourstudand

stablestaff,whomakeupthebackbone

ofourindustryandplayaninvaluablerole

incaringforourequineathletes.

EstablishedinBritainin2005,theawards

havegonefromstrengthtostrengthand

havesincebeenrolledoutinIreland,

AustraliaandrecentlyAmerica.

JessicaFortt,StudManagerforDunraven

Stud,wasnamedEmployeeoftheYear2015

andwasawardedwiththeperpetualGodolphin

TrophybypresenterClareBaldingandspecial

guestpresenterandthree-timeChampionFlat

JockeyRyanMoore.Jessicawaspresented

withachequefor£30,000forbeingnamed

EmployeeoftheYear,withthemoneytobesplit

equallybetweenJessicaandDunravenStud,

plusafurther£10,000,againsplitequally,for

winningtheStudStaffAward.

The 2015 Godolphin Stud and Stable Staff

winners were:

Employee Of The Year:JessicaFortt,

StudManager–DunravenStud

Rider/Groom Award: SimonArcher,

Groom–SirMarkPrescott

Stud Staff Award:JessicaFortt

Leadership Award:JohnsonWhite,

AssistantTrainer–PhilipHobbs

Dedication To Racing Award:LesleyWhite,

TravellingHeadLass–MickChannon

David Nicholson Newcomer Award:

TeganClark,HeadLad–OllyStevens

Administration Staff Award:PeterShoemark,

RacingOfficeManager–JohnGosden

JESSICA FORTT BEING PRESENTED WITH A CHEQUE BY

RYAN MOORE AND CLARE BALDING AFTER BEING NAMED THE

GODOLPHIN STUD AND STABLE STAFF EMPLOYEE OF THE YEAR.

62

UNDERSTANDING THE AUTHORISED BETTING PARTNER SCHEME

CASE STUDY

Why ABP?

Britishracing,actingthroughthe

Members’Committee,announcedthe

ABPschemeinOctober2015inorderto

addresssignificantfallsinLevyfunding,

andtoachievealevelofcertaintyasto

thefuturefundingofBritishracing.

WhilsttheGovernmenthascommitted

toreplacingtheLevymechanismby

April2017,ABPcontributionsarevitalto

deliveringinterimfundingtooursport.

UnderthecurrentLevyarrangements,

bettingoperatorspayapercentageoftheir

grossrevenuesonBritishracinggenerated

fromonshorebusiness-largelybricksand

mortar,asmostonlinebettingisoffshore.

Thispaymentsupportsmanyareasofracing,

includingprizemoney,integrityandveterinary

research.Inrecentyearstherehasbeena

significantshiftinconsumerbehaviourwith

about50percentofbettingactivityonBritish

racingnowtakingplacethroughremote

channelssuchastelephone,mobileandthe

internet.Asbettingoperatorshavemoved

theirremotebusinessesoffshore,theincome

thatBritishracingreceivedfromtheLevyhas

fallensignificantly.Ifnoactionwastaken,we

estimatedtheamountofmoneythatBritish

racingreceivedfromtheLevywouldfallfrom

itspreviouspeakofmorethan£100million

(in2008)tolessthan£50millionby2017.

TheaimoftheABPschemeistoachievealevel

ofcertaintyastothefuturefundingofBritish

racing,whichwillenablethesporttodelivera

stableandvaluablebettingproductalongside

itsotherstrategicobjectives,forthebenefitof

boththebettingandracingindustries.

If realised, the anticipated fall in Levy

income will have a significant negative

impact on the following areas:

Prizemoney,forthebenefitofall

participantsincludingowners,trainers,

jockeysandstablestaff

Fixturefundingandincentives

Regulationandintegrity

FinancialsupportforBritishracing

Veterinaryscienceandeducation

Industryeducationandtraining

Britishracing’sAuthorisedBettingPartner(ABP)isavoluntary

schemethataimstorewardbettingoperatorswhocommitto

makingacontributionontheirbettingactivitytofundBritishracing.

Inrecognitionoftheirsupport,bettingoperatorsareabletouse

theABPlogoandbecomeeligibleforanyadditionalbenefitsthat

supportersoftheschemechoosetooffertoABPs.

63


UndertheABPinitiative,Britishracingaims

topartlyaddresstheforecastLevyshortfall,

protectingtheseareasandencouraging

investmentacrossthesport.Itis,however,

aninteriminitiativeonly,withthevoluntary

paymentsachievingratesthatwouldnotbe

sustainableinthelongerterm.

Who can become an ABP?

Allbettingoperators(bothonshore

andoffshore)whoacceptbetsonBritish

racingfromUKcustomersareableto

qualifyforABPstatus.

How can a betting operator become an ABP?

Offshoreremotebettingoperatorscan

becomeanABPofBritishracingifthey

agreetopayafairandproportionate

contributiontoBritishracing.

Onshorebettingoperatorscanbecomean

ABPiftheyconfirmtoBritishracingthatthey

payLevyonallBritishhorseracingbusiness

andagreetopaythecontributionrates

setoutintheratecardiftheymovetheir

businessoffshorebeforeMarch2019,until

theendoftheABPterm.

What do ABPs contribute to British racing?

FromApril2016,ABPshaveagreed

tomakeafairandproportionate

contributiontoBritishracing.

ABPs’commitmentstoBritishracing

spanthreeyearsandtheypaytheir

contributionsquarterlyinarrearsto

theHorseraceBettingLevyBoard.

How does the industry support ABP?

SupportersofABP,includingracecourses,

may,actingindependently,andattheir

absolutediscretion,negotiatewiththose

bettingoperatorswhichhavesatisfiedthe

ABPqualifyingcriteriaonapreferential

basis.TheindividualABParrangements

putinplacebetweeneachABPand

relevantcommercialentityisamatter

forindividual,bilateralnegotiation.

The individual ABP arrangements

for supportive racecourses may

include the following:

Sponsorshipandcommercialmarketing

rightsatracecourses

Accesstoon-coursewifiservices

Co-operativemarketingtosupportABPs

Preferentialpricingstructurewithmedia

rightsholdersforABPs

UseofinternalassetstopromoteABPs

Find out more

BritishracinghasadedicatedABPwebpage

whichmaybeviewedat:

http://www.britishhorseracing.com/bha/

authorised-betting-partners/

ABPs OF BRITISH

RACING AS AT

12.04.2016

64

THE HORSE COMES FIRST

CASE STUDY

TheHorseComesFirstaimstoincreaseawarenessofthehigh

standardsofequinewelfareinBritishracing.Theinitiativeis

helpingimprovetheunderstandingofthecaregiventoour

horsesthroughoutandaftertheircareersinracing.

Thecampaignisfinanciallysupported

andendorsedbyabroadcross-sectionof

Britishracing'srepresentativebodies.

Did you know?

Amongapopulationestimatedtobearound

1million,racehorsesinBritainareamong

thehealthiestandbestlookedaftertwo

percentofhorsesinthecountry

Thesportemploysover6,000peopleto

provideconstantcareandattentionfor

the14,000horsesintraining,providing

themwithalevelofcareandaquality

oflifethatisvirtuallyunsurpassedby

anyotherdomesticatedanimal

Britishracingiscommittedtoproviding

thebestpossiblestandardsofveterinary

careforitshorsesandhasinvested,via

theHBLB,over£32millionsince2000

inveterinaryresearchandeducation

Britishracingisopenandtransparentabout

therisksinvolved.Overthelast20years,the

equinefatalityrateinBritishracinghasfallen

byonethird(from0.3percentto0.2percent

ofrunners).2015sawthelowestfatalityrate

onrecordat0.18percentofallrunners.

TheHorseComesFirstcampaignundertakes

ayear-roundprogrammeofactivityatracing

andwiderindustryeventstopromotethe

highstandardsofequinewelfareinthe

sport,withyear-roundonlinecontent

forthoseinterestedinfindingoutmore

providedatthededicatedcampaign

microsite,www.thehorsecomesfirst.com.

Ahighlightof2015’sactivitywasTheHorse

ComesFirstRacedaysacrossNewmarket,

NottinghamandNewcastleracecourseson

25June,withhorsewelfare-themedcontent

ateachracecourse.Thisincludeda‘painted

horse’demonstrationtomorethan150

localschoolchildrenatNewmarket,with

equinevetsexplaininghowathoroughbred

racehorse’sorgansoperatetoprovidethe

powerforittorunatspeedoversustained

distances,andaPrince’sTrustbehindthe

scenestourofthestablesatNottingham.

65


RETRAINING OF RACEHORSES

CASE STUDY

RetrainingofRacehorses(RoR)isBritishracing’sofficialcharity

forthewelfareofhorseswhohaveretiredfromracing.

TheBHAprovidesadministrativesupportto

thecharity,financialmanagementsupportand

companysecretarialservicesandlegaladvice.

The charity:

Raisesfundsfromwithintheracing

industryfortheretrainingand

rehomingofformerracehorses

Providesasafetynetforvulnerable

formerracehorses

Promotestheadaptabilityandversatility

ofracehorsestootherequestrianactivities

Runsandfundsawell-established

programmeofcompetitionsandeducational

eventsacrossthecountry

Providesinformationforownersandtrainers

inboththeracingandequineindustriesto

assistwiththerehomingandretrainingof

theirformerracehorses

2015 was a progressive year for RoR,

with highlights including:

Registeredthe11,000thhorse

tothecharityinOctober

AppointmentofleadingjockeysRichard

JohnsonandFrankieDettoriasRoR

Ambassadors.Thetwojockeyshavefirst-

handexperienceofrehomingformer

racehorses,includinghorsesthatplayed

apivotalroleintheirrespectivecareers

StagedtheRoRAwards,hosted

byClareBaldingOBE

HeldtheinauguralRoRNational

ChampionshipShowexclusivelyforformer

racehorsesattheAintreeEquestrianCentre,

withtheshowattracting464entries

Heldapublicauctionaimed

specificallyathorsesleavingracing

inconjunctionwithBrightwells

ReleasedtheICanChangefilmwhich

canbeviewedatwww.ror.org.uk

DENMAN LEADING THE ROR

PARADE AT CHELTENHAM

66

GREAT BRITISH RACING

RacingEnterprisesLimited(REL)isasubsidiaryoftheBHA,

ownedandoperatedasajointcommercialventurebetweenthe

Horsemen'sGroupandBritain’sracecourses.Itsleadingroleis

thepromotionandmarketingofBritishhorseracing.

RELhasanoperatingbudgetof£1.8

millionperannumderivedfromthesale

ofPre-RaceDatarightsrevenuecurrently

contractedwiththeRacecourseData

Companyforatermoffiveyears.

RELisa13.9percentequitystakeholderin

BritishChampionsSeriesLimited.

RELalsocontributesfinanciallytowards

GreatBritishRacingInternational(GBRI),

whichwassetuptofacilitateandgrow

internationalinvestmentintotheBritish

racingandbreedingindustries.Itprovidesa

bespokeserviceforthoseseekingtoinvest

inthehighestlevelsofthoroughbredracing

inBritain,aswellasmarketingBritish

racingtoawiderinternationalaudience.

REL’soperatingarm,GBR,isthesport’s

centralmarketingandpublicrelations

organisation,whoseaimistobroadenthe

appealandraisetheprofileofBritishracing.

EachofGBR’sobjectivesisconnectedtothe

overarchingaimofgrowingthenumberof

peoplewhoengagewithhorseracing,

whilsthelpingtogrowthesport’s

commercialrevenues–whichshould

benefitallparticipants.

GBR objectives:

Growracing’saudiencesandfan

engagement(attendances,viewing,betting)

Attractnewandretainexistingowners

withinBritain

Supportracing’sexploitationofits

commercialvaluesandsponsorship

opportunitiesviawiderindustryinitiatives

SupportracecoursesandtheRCAinthe

developmentofconsistentlygoodcustomer

experiencesacrossracing

2015 highlights

SirAnthonyMcCoy’sannouncementofhis

retirementinFebruary2015,providedracing

withthechancetocelebratealivinglegend.

GBRco-ordinatedallnationalpublicrelations

activity,includingsocialanddigitalmedia

campaigns.Bythedayofhisretirementon25

April,the#ThanksAPhashtaghadachieved

80milliontimelinedeliveries,reachingover

23millionTwitterusers,wasthenumberone

trendinBritainandtheracedayatSandown

wasasell-out.Thisdemonstratesthebenefit

ofaco-ordinatedapproachtoracing’smajor

publicrelationsstories.

ThelaunchofthenewStobartFlatJockeys’

Championshipenabledthesporttopromote

itsstarsinamoredynamicway.Thegiant

23mTwitterusersreached

bythehashtag

#ThanksAP

1mViewsofFrankieDettori

'DayintheLife'videoin

firstweek

67


jockeysontheStobarttrailersprovideda

permanentandpowerfuladvertisement

forthesportonthenation’smotorways

throughoutthesummer.

Theyearmarkedsignificantgrowthin

socialanddigitalmedia,withGBR'suseof

thesemediumsenablingthesporttoreach

existingandnewfansininterestingand

relevantformats.Videocontentledtheway

inengagingaudiencesandthemostpopular

pieceoffilmin2015wastheFrankieDettori

‘DayintheLife’video,whichwasvieweda

milliontimeswithinaweekofitsrelease.

GBRalsoledanauditoftheracecourses’

socialanddigitalmediacapabilitieswhich

focusedonhowracingcouldreachmore

people,spenditsmarketingbudgets

effectivelyandleverageitsplatformsto

makemoreofourbigmoments.

Thepromotionofracing’sbiggestoccasions

remainsaneffectivewaytosecureeditorial

spaceinprint,broadcastanddigitalmedia.

ByleadingwithQIPCOBritishChampions

Seriestohighlightthefinestmomentson

theflat,orbydevelopingcontentaround

jumpsracingviatheCheltenhamFestival

andCrabbie’sGrandNational,GBRwasable

tocomplementtheexcellentworkofthe

racecoursesandmaximiseexposure.

OnadailybasisGBRcontinuedtoreactto

newsopportunitiesbigandsmall.Asan

example,GBRistheorganiserofthedaily

Talksportinterviews,arranginginterviews

withhorsemengivingracingapermanent

presenceduringaprime-timeslot.

GBR,inconjunctionwiththeRCA,alsoled

racing'sbiggesteverpieceofconsumer

researchin2015,entitledInsight=Growth.A

summaryoftheprojectcanbedownloaded

fromthemediasectionoftheGreatBritish

Racingwebsite,www.greatbritishracing.com

TV PRESENTER AND PERSONALITY DERMOT O'LEARY

GETS INVOLVED WITH THE #THANKSAP CAMPAIGN.

A DAY IN THE LIFE OF FRANKIE DETTORI.

WATCH THE VIDEO AT WWW.BRITISHCHAMPIONSSERIES.COM

68

Looking ahead

2016willbeaboutstrengtheningthis

integratedapproachtopublicrelationsand

marketingandfurtherrefinementofGBR’s

activity.WherepossibleGBRwillmeasure

thesuccessofitscampaignsandshare

bestpracticewiththeindustry.

GBRwillcontinuetoactasthevehiclefor

trialandinnovation(JockeyCamandlive

televisedstewards’enquirieswereinitially

trialledbyGBR)andbestpractice,suchas

theInsight=Growthprojectandsocialand

digitalmediaaudit.

In terms of specific areas of focus:

Digital growth

GBR’sandracing’sdigitalchannelsoffer

sizeableopportunitiestoreachmorepeople

withdiversecontent.Thesportismaking

greatprogressinthisspherebutthe

potentialisgreater.Withsocialmediaand

videodominatingthewaysinwhichpeople

communicateandconsumeinformation,this

willcontinuetobeanareaoffocusaswill

videocontent.63percent(24million)of

Facebook’s38millionBritishusershave

expressedaninterestinsportandGBR

wantsthatsporttobehorseracing.

Ownership – national campaign

Anationalcampaigntopromotethethrill

ofownershipthroughclubsorsyndicates

andfurtherdevelopmentoftheownership

informationwebsite.Thissupportsthe

broaderIndustryStrategyownershippillar.

Come Racing – national campaign

Basedontherecentconsumerinsight,GBR

willactupontheopportunityprovidedby

reachingaproportionofthe34millionpeople

awareofbutnotcurrentlyconsideringracing,

withanationalcampaignoverthesummer.

Under 18s/Kids Go Free – national campaign

Unlikethemajorityofotherleadingsports,

mostracecoursesofferfreeadmissionto

Under18s,whichisapowerfultooltoengage

withtheyoungergenerationandmakesaday

attheracesgreatvalueforfamilies.

Championships

Racing’sflat,jumpandallweatherjockeys',

trainers'andowners’championshipsprovide

thebasisformanystorylines.Acrossall

sports,peopleareinterestedinthebest.

GBR'simproved,better-structuredand

sponsoredformatsprovidethechancetodo

moretopromotethestarsofracing.

British Champions Series

BritishChampionsSerieswillcontinuetobe

animportantvehicletodrivewideraudience

engagementthroughpromotingthepremier

flatracingseasonhighlights.

Natural racing highlights

GBRwillcontinuetomaximisemajorpublic

relationsopportunitiesastheyariseand

co-ordinateactivitytogeneratewider

exposureforthesport.

Her Majesty’s 90th Birthday celebrations

Thisimportantoccasionprovidesnumerous

opportunitiestoengagewiththepublic

throughHMTheQueen’sdeepconnection

withhorseracing.

Insight = Growth

GBRwillcontinuetoworkwiththeRCAin

ensuringinsightinformsourcommunication

andsalesstrategy.

69


#ThanksAP

70

MANAGINGRACING'SOPERATIONS

71

BHA ADMINISTRATION

BHA ADMINISTRATION

OuradministrationfunctionoverseesandenablesBHA's

operationsandcomprisesfinance,officeservices,ITand

programmemanagement.

Financial management

Ourfinancialstrategyistobreakeven

overthemediumtermandinthemain,

weareachievingthisobjective.Having

madeasurplusin2012and2013,wetook

theopportunitytosupportthesport’s

participantsbyholdingfeesin2014

whiledeliveringsignificantincreasesin

activity.Thesetwofactorscombinedmeant

wemadeafinanciallossof£1.36millionand

hadacashoutflowof£2.25million,equalto

thecashinflowbetween2010and2013.

In2015,webudgetedafinancialdeficitof

£0.14mandcashoutflowof£0.46million

inordertodeliverincreasedoutputasthe

BHAtookaleadingroleinthesport’swider

industrystrategy.Howevertofundthis

growth,feesonparticipantswereincreased

forthefirsttimesincethebeginningof2012.

Operatingafinancially-viablebudget

remainsoneofourkeyobjectives,and

throughcarefulfinancialmanagement

andthedeliveryofefficienciesacrossthe

business,weachievedthisin2015.

Adetailedfinancialsummaryappears

earlierwithintheStrategicReportfrompage

14to23,andauditedaccountswithinthe

FinancialStatementsfrompage105to138.

Projects and programme management

Ourprogrammeofficetracksandsupports

projectsandprogrammes,allofwhichare

sharplyfocusedonmeetingourninekey

strategicgoals.Withastrictbudgetand

limitedresource,theworktomeetthese

goalsmustbecarefullyplanned,managed

andprioritised.

Projectsaredeliveredbyourinternal

developmentteamusingamodernand

innovativeapproachtosoftwaredevelopment

andprocessdesign.

OurITandprogrammeteamsaimtoprovide

theorganisationwithsolutionsthatwill

providemaximumvaluenowandinthefuture.

Asignificantareahasbeenthedelivery,

withWeatherbys,ofanew,upgradedset

ofsystemsforracingadministration.This

programmeofdevelopmentwork,duetobe

fullydeliveredbytheendof2016,willprovide

anewracingadministrationwebsite,anew

facilityforonlinemanagementofowner's

accountsandfullyautomatedonlineowner

registration.Ourfinancialcommitmentto

thisprogrammeis£0.8millionover2015and

2016aswellassupplyingdedicatedproject

managementresource.

£800,000Commitmentto

upgradingracing

administrationsite

72

EFFECTIVE CORPORATE GOVERNANCE

73

DIRECTORS’ REPORT AND GOVERNANCE STATEMENT


Examples of the Board’s corporate

governance include:

AseparateChairmanandChiefExecutive

Laiddownprocedures

NominationsandRemuneration

Committees

AnAuditCommittee

Theuseofclearlydefinedauthorities

forallexpenditure

Adherencetotheprinciplesofbetter

regulationandregularindependent

scrutinyofcompliance

Formalconsultationprocesseswith

stakeholdersonallmattersofregulation

andgovernance

Adirectors’codeofpracticeadopted

bytheBoard

RegularmonitoringbytheBoard

ofdirectors

Inparticular,thedirectorshavedeveloped

andmaintainedaneffectivesystemofinternal

controloverthefinancialmanagementof

theGroup,toprovidereasonableassurance

thatitsassetsaresafeguardedandthat

properaccountingrecordsarekept.The

systems,whicharekeptunderreview,include

comprehensivebudgetingsystemswithan

annualbudgetapprovedbytheBoardand

theregularconsiderationofactualresults

comparedwithbudgetsandforecasts.

Members

The members of the Company are:

RCA

ROA

TBA

LicensedPersonnelMembers

*TheGroupcomprises:

BritishHorseracingAuthorityLimited,

RacingEnterprisesLimited(REL)andBritish

HorseracingDatabaseLimited(BHD).BHDis

responsibleforthemaintenanceandlicensing

oftheracingadministrationdatabase.

AlthoughneithertheGroup*northeBHAarelisted,thedirectors,

mindfulofBHA’spositionasthegoverningandregulatorybody

forhorseracinginBritain,havesoughttocomplyinallmaterial

respectswiththeapplicableprinciplesofgoodcorporate

governance,havingregardtothenatureoftheBoard’sactivities

anditsconstitution.

12Numberofboard

members

74

BACK, L-R: JULIE HARRINGTON, JOE SAUMAREZ SMITH,

RUPERT ARNOLD, SIR PAUL STEPHENSON, NICK RUST,

EAMONN WILMOTT, ATHOLL DUNCAN, ANDREW MERRIAM.

BACK, L-R: JULIE HARRINGTON, JOE SAUMAREZ SMITH, RUPERT ARNOLD, SIR PAUL STEPHENSON,

NICK RUST, EAMONN WILMOTT, ATHOLL DUNCAN, ANDREW MERRIAM. FRONT, L-R: LAURA WHYTE,

STEVE HARMAN, NÖEL HARWERTH, VIVIEN KYLES.

75


FRONT, L-R: LAURA WHYTE, STEVE HARMAN,

NOEL HARWERTH, VIVIEN KYLES.

76

Steve Harman Chairman Appointed1Jul2013

Nick Rust ChiefExecutive Appointed19Jan2015

Laura Whyte Appointed1Dec2014

Joe Saumarez Smith Appointed1Dec2014

Andrew Merriam IndependentRegulatoryDirector Appointed1Sep2012

Atholl Duncan Appointed1Dec2014

Eamonn Wilmott Appointed1Dec2014

Rupert Arnold Appointed19Jan2015

Sir Paul Stephenson IndependentRegulatoryDirector Appointed1Jul2015

Vivien Kyles Appointed1Jan2016

Julie Harrington Appointed1Dec2014

Nöel Harwerth Appointed1Dec2014

DIRECTORS

Nick Rust ChiefExecutive

Adam Brickell DirectorofIntegrity,LegalandRisk

Carole Goldsmith DirectorofPeopleandDevelopment

Gavin Jefferies DirectorofCommunications(witheffectfromJan2016)

Will Lambe DirectorofCorporateAffairs

Ruth Quinn DirectorofInternationalRacingandRacingDevelopment

Jamie Stier DirectorofRacedayOperationsandRegulation

Richard Wayman ChiefOperatingOfficer(witheffectfromJan2016)

THE BHA EXECUTIVE TEAM

77


Steve Harman

Chairman

July2013-present

SteveHarmanbecameChairmanoftheBritishHorseracing

AuthorityinJuly2013,havingpreviouslyservedasaVice

PresidentatRoyalDutchShell.BornandraisedinDurham,

StevewaseducatedatDurhamUniversity(BAHons)and

Warwick.From1980onwards,SteveworkedforRoyalDutch

ShellinpositionsacrossEurope,AsiaandtheAmericas.

Between1999and2004hewasCEOofShellMarinebefore

becomingCEOofPennzoilbetween2005and2009.Latterly

heranShell’sGlobalDownstreamJointventures.Hehas

extensiveexperienceofdealingwithmultiplestakeholders

andgovernmentorganisations,andhassatonvarious

corporateboardswhilstholdingavarietyofexecutiveand

non-executivepositionsintheUK,AmericaandAsia.Steveis

alsoaDirectorandTrusteeofHelpforHeroes,aMemberof

DurhamUniversityCouncil,anon-executivewithtwoprivate

equityfirms,andasupporterandmentortoanumberof

smallbusinessstart-ups.Stevehasbeenakeenracehorse

ownerforover20years–bothontheflatandoverjumps–

mostlyinsmallpartnershipswithavarietyoftrainers.He

currentlyhashorsesintrainingwithMartinKeighleyand

PhilipHobbs,plussharesinvariousflathorseswithRichard

Fahey,AndrewBalding,SimonCrisfordandJeremyGask.

Nick Rust

Chief Executive

January2015-present

NickRusthasover27yearsofexperienceinthebetting

andgamingindustry,andjoinedtheBHAfromLadbrokes

PLC,wherehewasManagingDirector,Retail,inJanuary

2015.Inhispreviousrolehehadoversightofaround2,500

bettingshopsand13,000staff.Here-joinedLadbrokesin

2011,havingstartedatthefirmasacashierin1987,and

heldrolesatBskyBbetween2002and2007,includingas

ManagingDirectorofSkyBet,andatGalaCoralfrom2007

to2010,includingasManagingDirector,RemoteGambling

andCoralRetail.Hehasextensiveexperienceinindustry

andcorporateaffairs,havingmanagedkeyrelationships

withGovernmentandregulators,andhasexcellent

relationshipsacrossBritishracing.Nickhasbeenan

ownersince2005,andcurrentlyhashorsesintraining

withMickyHammondinMiddleham,NorthYorkshire,for

whosetrainingbusinesshehasalsoservedasaDirector.

Andrew Merriam

Independent Regulatory Director

September2012-present

AndrewMerriamisachairmanandadirectorwitha

numberofothercompanies,includingadirectorof

FakenhamRacecourse.CurrentlyChairmanoftheBHA’s

RulesCommittee,theStewardingandDisciplinaryPolicy

CommitteeandtheAuditCommittee,hewaspreviously

ChairmanoftheDisciplinaryPanelandamemberofthe

RegulatoryCommittee.Hehasactedasaracecourse

stewardatNewmarket,Cheltenham,Fakenham,Southwell

andYarmouth.AndrewMerriamwaselectedtoThe

JockeyClubin1997.HeisChairmanofJockeyClub

EstatesandwasappointedaSteward,forthesecond

time,in2008.Andrewownsandbreedsnationalhunt

horsestoraceunderrulesandinpoint-to-points.

Sir Paul Stephenson

Independent Regulatory Director

July2015-present

SirPaulhadahighlydistinguishedcareerasapolice

officerovermorethan35years,holdingseniorcommand

positionsinMerseyside,LancashireandLondon.Inhis

roleswiththeMetropolitanPoliceService–whereas

CommissionerhewasthemostseniorofficerintheUK–

headvisedgovernmentsonissuesrangingfromcounter

terrorismtoseriousorganisedcrimeandnationalpolice

improvements,withafocusonmodern,transparent

andcollaborativepolicing.Hehasservedastrustee

foranumberofcharities,andiscurrentlyatrusteeof

CrimestoppersUK.HeleadstheBHAboard’seffortsin

itspriorityareas,ensuringthatBritishracingisregulated

tohighstandards,andseenbyalltobefairandclean.

BOARD MEMBERS

78

Atholl Duncan

December2014-present

Anexperiencednon-executivedirectorinsports

organisations,Athollspentnearly25yearswiththe

BBC,initiallyasajournalistandTVnewsandsports

producer,beforerisingtobeHeadofNewsand

CurrentAffairsfortheBBCinScotland.Hespentfour

yearsasDirectorofCorporateAffairswithScottish

Waterandsince2011hasbeenExecutiveDirectorof

ICAS,theprofessionalbodyofCharteredAccountants.

Athollsitsonnumerousadvisoryboards,hasworked

withtheGovernmentonvariousbusinessissues

andhasgoodknowledgeofsportsadministration

andgovernance.Hewasanon-executivedirectorof

Sportscotlandfornineyears,satontheScottishSports

CouncilTrustandcurrentlysitsontheboardofthe

HibernianFootballClubCommunityFoundation.Atholl

hasbeenaregularracegoerformorethan35yearsand

isamemberoftheCaledonianRacingSociety,whichhas

hadvarioushorsesintrainingwithHughieMorrison.

Julie Harrington


JulieHarringtonhasconsiderableknowledgeand

experienceinBritishhorseracingasaresultofhereight

yearcareerwithNorthernRacing.Herfinalappointment

wasasOperationsDirectorandpriortothatshewas

ManagingDirectorofUttoxeterRacecourse.Julie’searly

careerwaswithWhitbreadInnsasRegionalMarketing

DirectorandthenwithBritishAirwaysasRetailSector

Director.PreviouslyStGeorge'sParkManagingDirector,

JulieisnowOperationsDirectoracrosstheFA'ssitesin

Burton-upon-TrentandatWembleyStadium.Inadditionto

herextensiveracecourseexperience,Julieisalsoanowner.

Nöel Harwerth


NöelHarwerthandherhusbandareformerbreeders

whonowbuyyearlingsinBritainandIrelandandrace

inBritain.NöelisactiveinbothBritishandUSracing

andisinvolvedwiththeNationalMuseumofRacing

andHallofFame.ShewaspreviouslyaGovernment

appointeeontheBoardoftheToteandiscurrentlynon-

executivedirectoronanumberofhighprofilefinancial

servicesorganisations,includingStandardLifeplc,GE

CapitalBankLimitedandLondonMetalExchange.

From1998to2003NöelwastheChiefOperating

OfficerofCitibankInternationalandpriortothat

servedastheChiefTaxOfficerofCitigroup,Dun

&BradstreetCorporationandKennecottCopper

Corporation.Sheisalsoaqualifiedsolicitor.

Joe Saumarez Smith


AstheCEOofSportsGamingLimited,aLondon-based

managementconsultancytothegamingindustry,Joe

hasforthepast15yearsadvisedandworkedcloselywith

lotteries,governments,investmentbanksandoperating

companiesonstrategy,operationalrestructuring,finance

andmergerandacquisition.Hecontinuestoworkwith

theOntarioLotteryasaInternetGamingExpert,helping

themmovetheirland-basedoperationsonline.In2012

Joeco-foundedBedeGamingLtd,aprovideroftechnology

totheonlinecasinoandbingoindustries,andoneofthe

fastestgrowingcompaniesinthenorth-east.BedeGaming

islicensedbytheUKGamblingCommissionandother

internationalregulatorybodies.JoehasanMBAfromthe

WhartonSchoolofFinance,UniversityofPennsylvania,

wherehewasaThouronscholar.Joehasadeeprooted

passionandunderstandingofhorseracing,havingbeenan

avidfolloweroftheindustrysincetheageofeight.Hewas

ontheJockeyClubGraduateProgrammeandworkedatthe

RacingPost.Overthepast20yearshehasbeenaregular

racegoerandhasbeentomorethan200tracksaround

theworld.Hehaswrittenextensivelyabouthorseracing

andgamblingforavarietyofpublications,includingthe

FinancialTimes,TheTimes,TheTelegraph,andBloomberg.

79


Laura Whyte


LaurahashadahighlysuccessfulcareerwiththeJohnLewis

Partnership.ShewasontheJohnLewisManagementBoard

for10yearsduringwhichshesawthebusinessgrowfrom

22,000to34,000employeesandaturnoverof£4.1billion,

mostrecentlyintheroleofHumanResourcesDirector.Prior

totakingtheroleofHumanResourcesDirectorLauraalso

tookontheroleofDivisionalRegistrar;aboardroleunique

tothePartnership,withtheaimofdeliveringanobjective,

independentviewandprovidingassurancetothePartnership

Boardthatemployeeswereappropriatelysupported,that

theirviewswerereflectedindecision-makingandthat

governancewithinJohnLewiswascorrectlyexercised.

Laurahasconsiderablenon-executivedirectorexperience,

shesitsontheDefencePeopleandTrainingBoardwithin

theMinistryofDefenceandisaTrusteeofWomenin

Retail.Lauraisakeenhorsewoman,andhasownedher

ownhorsesforfifteenyears.Hertwoprobonoactivities

areequinerelated–theBritishEquestrianFederation

andEbonyHorseClubinBrixton–givingherexperienceof

awiderangeofequineissuesandunderstandingofrelated

governanceincharitableandgoverningbodysectors.

Eamonn Wilmott


EamonnWilmottisahighlysuccessfulentrepreneur,

witharecordofconsiderablesuccessinBritainandtheUS.

EamonnistheFounderandManagingDirectorofHorses

FirstRacing,astateofthearttrainingyard,inpartnership

withtrainerJeremyGask.Havinghadexperienceinthe

trainingyard,andasaracehorseownerformanyyears,

Eamonnhasastrongbackgroundandunderstanding

invariousaspectsoftheracingworld.Eamonnwas

previouslyChairmanoftheThoroughbredOwner&

BreederMagazineandco-foundedTotalPerformance

DataLimitedwithROACouncilMember

WillDuffGordon,todevelopcutting-edgeequine

monitoringsystems.Eamonn’searlycareerwasasa

leaderinthedevelopmentoftheinternet.Hewasthe

FounderandManagingDirectorofanaward-winningdigital

agencyandbetween1997and2003hewasChairman

ofagency.com,aleadingworldwidedigitalagency.

Rupert Arnold


RupertArnoldhasbeentheChiefExecutiveofthe

NationalTrainersFederation,therepresentativebody

forlicensedracehorsetrainersinGreatBritain,since

2000.Duringthistimehehasalsobeenadirectorofthe

BHA,Horsemen'sGroupandtheBritishHorseracing

EducationandStandardsTrust.Earlierinhiscareer,after

employmentasassistanttrainertoJeremyHindley,John

WinterandPaulCole,Rupertheldatrainer’slicence

forsixyears,traininginUpperLambourn,Berkshire.

Vivien Kyles

January2016-present

VivienKylesisChiefExecutiveofHamiltonParkRacecourse,

whereshetookupappointmentinJune2008.Sheisalso

amemberoftheDevelopmentBoardoftheMarieCurie

HospiceinGlasgowandViceChairmanoftheRCA.Priorto

thisshewaspartownerofandChiefExecutiveofLivingston

FootballClubhavingboughttheclubandtakenitout

ofAdministration.ShealsosatontheScottishFootball

LeagueManagementCommitteewhereshewasthefirst

femaletoholdsuchanappointmentinitsover100year

existence.QualifyingasaCharteredAccountantwithErnst

&Young,VivienworkedinLondon,AustraliaandGlasgow,

includingaperiodadvisingtechnologystart-ups,before

joiningtelecomsbusinessDamovo.StartingasDirector

ofStrategyshewasresponsiblefortheintegrationof

thegroup’s18countries’salesforcesbeforebecoming

headofGlobalSalesandSolutions.Viviendoesavariety

ofpublicspeakingsharingherlifeandworkexperiences

ofadaptingherbusinessskillstodifferentindustries.

81

KEY STATISTICS

Fixtures 82 - 85

Races 86 - 93

Horsesintraining 94 - 97

Ownershipfigures 98

Foalcrop 99

OtherKPIs 100 - 103

KEY STATISTICSDataaroundfieldsizes,competitivenessof

racingandthenumbersofhorsesintrainingare

importantmeasuresofthesuccessofthesport.

Foranumberofyearswehavewitnesseddecline,

butin2015wehaveseenthosetrendsreversed

andgrowthwitnessedinalmosteveryarea.

Whilethegrowthfiguresarerelativelymodest,

thereversalofthetrendtowardsdecline

is,initself,anencouragingresult.

82

FIXTURESYEAR TO DATE

FIXTURES SCHEDULED

Flatturf

20122011

583599 578

319300 311

594591 586

1,4961,490 1,475

2013 2015

588 569

320 317

587 591

1,495 1,477

2014

Flatallweather

Jump

Total

Note: Flat includes mixed meetings.

571 515 538 546 558

301 314 315 310 318

597539 578 573 564

1600

2011 2012 2013 2014 2015

1200

800

400

0

FIXTURES RUN

Flatturf

20122011

539597 573

314301 310

515571 546

1,3681,469 1,429

2013 2015

578 564

315 318

538 558

1,431 1,440

2014

Flatallweather

Jump

Total

Note: includes additional, rescheduled and partially abandoned fixtures. Flat includes mixed.

FIXTURES |RACES|HORSESINTRAINING|OWNERSHIPFIGURES|FOALCROP|OTHERKPIsN

umbe

r of

fixt

ures

run

by

race

type

83

KEY STATISTICS

ABANDONMENTS

Flatturf

20122011

410 4

70 1

8121 41

12921 46

2013 2015

7 3

6 0

52 34

65 37

2014

Flatallweather

Jump

Note: Flat includes mixed meetings.

140

2011 2012 2013 2014 2015

105

70

35

0

129

21

65

4637

Total

Num

ber

of a

band

onm

ents

(tot

al)

84

2011 2012 2013 2014 2015

0

300

600

900

1200

TURF FIXTURES BY GOING

20122011

1920 17

160344 214

292

362

179

175

418

207

136

42

356

206

227

95

2013 2015

22 13

294 231

362

179

175

78

390

232

188

68

2014

Goodtofirm

Good

Goodtosoft

Soft

Heavy

Firm

160

292

362

179

175

294

362

179

175

78

214

356

206

227

95

231

390

232

188

68

344

418

207

136

42

20

19

22 17 13

FIXTURES |RACES|HORSESINTRAINING|OWNERSHIPFIGURES|FOALCROP|OTHERKPIs

1,1871,167 1,1151,110 1,122Total

Num

ber

of tu

rf fi

xtur

es b

y go

ing

85

KEY STATISTICS

TOTAL PRIZE MONEY (£'000)

AVERAGE PRIZE MONEY (£) (BY RACE)

2012

2012

2011

2011

66,022

10,811

62,413

9,954

82,380

13,060

31,757

8,971

31,480

8,120

40,609

10,695

2013

2013

2015

2015

75,903

11,867

89,736

14,342

38,320

10,219

42,415

11,209

2014

2014

97,77893,893 122,989114,223 132,152Total

10,1369,253 12,17111,258 13,161Total

Flat

Flat

Jump

Jump

62.4

31.4

2011 2012 2013 2014 2015

66

31.7

75.9

38.3

82.3

40.6

89.7

42.4

35million

0

70million

105million

140million

Tota

l pri

ze m

oney

by

race

type

86

RACES YEAR TO DATE

RACES RUN

Flatturf

20122011

3,374

38.7%

4,022

39.6%

3,979

39.4%

2,373

24.6%

2,248

22.2%

2,329

23.0%

1,310

13.6%

1,826

18.9%

305

3.2%

99

1.0%

1,451

14.3%

2,010

19.8%

306

3.0%

110

1.1%

1,402

13.9%

1,968

19.5%

333

3.3%

94

0.9%

2013 2015

4,002

39.4%

3,947

39.3%

2,394

23.6%

2,310

23.0%

1,387

13.7%

1,899

18.7%

357

3.5%

107

1.1%

1,361

13.6%

2,034

20.3%

295

2.9%

94

0.9%

2014

Flatallweather

Steeplechase

Hurdle

NHF

Hunterchase

9,64710,147 10,10510,146 10,041Total

100%100% 100%100% 100%Total

100%

2011 2012 2013 2014 2015

75%

50%

25%

0

3.0% 3.2% 3.5% 3.3% 2.9%1.1% 1.0% 1.1% 0.9% 0.9%

39.6%

22.2%

14.3%

19.8%

38.7%

24.6%

13.6%

18.9%

39.4%

23.6%

13.7%

18.7%

39.4%

23.0%

13.9%

19.5%

39.3%

23.0%

13.6%

20.3%

FIXTURES| RACES |HORSESINTRAINING|OWNERSHIPFIGURES|FOALCROP|OTHERKPIs

Flatturf

Flatallweather

Steeplechase

Hurdle

NHF

Hunterchase

Per

cent

age

of to

tal r

aces

run

by

race

type

87

KEY STATISTICS

AVERAGE FIELD SIZE

20122011

9.599.50 8.93

8.928.97 8.22

2013 2015

8.99 9.02

8.88 8.35

2014

10

2011 2012 2013 2014 2015

8.5

7.0

5.5

0

9.359.30 8.668.95 8.77All

Flat

Jump

Aver

age

field

siz

e by

rac

e ty

pe

88

ENTRIES

20122011

147,554144,185 128,350

78,50086,982 72,475

2013 2015

136,611 128,675

80,270 73,094

2014

226,054231,167 200,825216,881 201,769Total

Flat

Jump

240,000

2011 2012 2013 2014 2015

180,000

120,000

60,000

0

FIXTURES| RACES |HORSESINTRAINING|OWNERSHIPFIGURES|FOALCROP|OTHERKPIsN

umbe

r of

ent

ries

by

race

type

89

KEY STATISTICS

DECLARATIONS

20122011

65,10265,291 62,278

34,14037,130 33,469

2013 2015

63,570 62,055

35,957 33,811

2014

110,000

2011 2012 2013 2014 2015

82,500

55,000

27,500

0

99,242102,421 95,74799,527 95,866Total

Flat

Jump

Num

ber

of d

ecla

ratio

ns b

y ra

ce ty

pe

90

RUNNERS

20122011

58,59359,592 56,309

31,58134,748 31,222

2013 2015

57,526 56,463

33,310 31,612

2014

90,17494,376 87,53190,836 88,075Total

Flat

Jump

ELIMINATIONS

20122011

8,1486,658 4,766

1,5001,776 874

2013 2015

5,723 4,603

1,546 920

2014

10,000

2011 2012 2013 2014 2015

7,500

5,000

2,500

0

9,6488,434 5,6407,269 5,523Total

Flat

Jump

FIXTURES| RACES |HORSESINTRAINING|OWNERSHIPFIGURES|FOALCROP|OTHERKPIsN

umbe

r of

elim

inat

ions

by

race

type

91

KEY STATISTICS

1,2631,385 1,1041,216 1,047Dual

INDIVIDUAL RUNNERS

20122011

9,6149,806 9,580

2013 2015

9,588 9,726

2014

18,55019,329 18,07718,506 18,315Total

Flat

7,6738,138 7,3937,702 7,542Jump

19,329 18,506 18,077 18,31518,550

94,376 90,836 87,53190,174

100,000

2011

2011

2012

2012

2013

2013

2014

2014

2015

2015

75,000

50,000

25,000

0

88,075

Num

ber

of r

unne

rs (t

otal

)

20,000

16,250

12,500

8,750

5,000Num

ber

of in

divi

dual

run

ners

(tot

al)

92

AVERAGE NUMBER OF RUNS PER HORSE

NON-RUNNERS

2012

2012

2011

2011

2013

2013

2015

2015

2014

2014

5.45.3 5.3

3.53.7 3.7

5.3 5.2

3.7 3.7

4.94.9 4.84.9 4.8

6,5095,699 5,969

2,5592,346 2,247

6,044 5,592

2,647 2,199

9,0688,045 8,2168,691 7,791Total

Flat

Jump

Total

Flat

Jump

FIXTURES| RACES |HORSESINTRAINING|OWNERSHIPFIGURES|FOALCROP|OTHERKPIs

6

2011 2012 2013 2014 2015

4.5

3

1.5

0Num

ber

of r

uns

by r

ace

type

93

KEY STATISTICS

AVERAGE FIELD SIZE

20122011 2013 20152014

9.079.23 9.118.98 9.21Pattern/listed

6.556.71 6.656.33 6.50WFAconditions

9.589.55 8.898.90 8.81Maiden

4.654.93 4.944.69 4.93Novice

7.287.30 7.096.81 7.17Sellers/claimers

8.308.78 8.208.20 8.24Auctionraces

15.6417.00 15.5017.40 16.10Salesraces

10.4111.14 10.4510.84 10.21Pattern/listed

7.767.68 7.117.72 7.41Handicap

5.895.15 4.805.79 4.92Maiden/novice

6.625.38 5.315.58 6.21WFAconditions

10.6511.58 10.029.87 10.01Pattern/listed

10.1010.09 9.0110.17 9.19Handicap

9.6010.03 8.689.58 8.46Maiden/novice

8.027.78 6.137.25 7.11WFAconditions

7.838.50 7.457.98 7.94Sellers/claimers

9.599.50 8.938.99 9.02Flat

7.517.25 7.037.53 7.31Steeple Chase

9.769.96 8.869.75 8.91Hurdle

10.0910.75 9.289.62 9.16National Hunt Flat

8.658.75 8.978.56 9.02Hunter Chases

11.00

2011 2012 2013 2014 2015

9.50

8.00

6.50

0

10.1810.03 9.219.40 9.33Handicap

Aver

age

field

siz

e by

rac

e ty

pe

94

13,71614,055 13,52813,703 13,886

8,634 8,471 8,440 8,525 8,715

4,420 4,452 4,3094,3974,542

670647 632 635

616

2011 2012 2013 2014 2015

6,000

3,000

9,000

12,000

15,000

ALL

20122011

8,4718,634 8,525

4,4204,542 4,309

647670 635

2013 2015

8,440 8,715

4,452 4,397

632 616

2014

Jump

Dual

Flat

HORSES IN TRAININGMONTHLY AVERAGE

All

FIXTURES|RACES| HORSES IN TRAINING |OWNERSHIPFIGURES|FOALCROP|OTHERKPIsAv

erag

e nu

mbe

r of

hor

ses

in tr

aini

ng b

y ra

ce ty

pe

95

KEY STATISTICS

FLAT

20122011

2,8493,042 3,044

2013 2015

2,966 3,214

2014

8,4718,634 8,5258,440 8,715Total

2011 2012 2013 2014 2015

1000

12,000

2000

3000

4000

2YO

1,2291,264 1,1611,230 1,1744YO

1,7411,741 1,8241,763 1,7825YO+

2,6522,586 2,4952,482 2,5453YO

Aver

age

num

ber

of fl

at h

orse

s in

trai

ning

by

age

96

4,4204,542 4,3094,452 4,397

2011 2012 2013 2014 2015

1,000

0

2,000

3,000

4,000

JUMP

20122011

94110 122

566587 537

3,7603,845 3,650

2013 2015

111 120

528 583

3,814 3,695

2014

4YO

5YO+

3YO

Total

FIXTURES|RACES| HORSES IN TRAINING |OWNERSHIPFIGURES|FOALCROP|OTHERKPIsAv

erag

e nu

mbe

r of

jum

p ho

rses

in tr

aini

ng b

y ag

e

97

KEY STATISTICS

647670 635632 616

2011 2012 2013 2014 2015

125

0

250

375

500

DUAL

20122011

6462 58

164169 138

419439 439

2013 2015

50 52

154 158

428 406

2014

4YO

5YO+

3YO

Total

Aver

age

num

ber

of d

ual h

orse

s in

trai

ning

by

age

98

8,2158,425 7,9317,968 7,892

2,238 2,142 2,024 1,937 1,852

4,9244,922

4,814 4,8595,006

957928 937907

905

2011 2012 2013 2014 2015

2,250

0

4,500

6,750

9,000

NUMBER OF OWNERS

20122011

2,1422,238 1,937

4,9245,006 4,859

928957 937

2013 2015

2,024 1,852

4,814 4,922

907 905

2014

Partnership

Other

Soleowners

OWNERSHIPFIGURES

Total

FIXTURES|RACES|HORSESINTRAINING| OWNERSHIP FIGURES | FOAL CROP |OTHERKPIs

221224 220223 213Company

221224

223 220213

Num

ber

of o

wne

rs b

y ow

ners

hip

type

99

KEY STATISTICS

NUMBER OF THOROUGHBRED FOALS

20122011

4,3664,635 4,255

2013 2015

4,420 4,569

2014

2011 2012 2013 2014 2015

4,250

4,000

4,500

4,750

5,000

Foals

FOAL CROP

4,635

4,3664,420

4,255

4,569

Num

ber

of th

orou

ghbr

ed fo

als

100

7 RACE CARDS

20122011

18.1%25.2% 11.8%

81.9%74.8% 88.2%

2013 2015

13.4% 21.2%

86.6% 78.8%

2014

7+Races

<7Races

OTHER KPIsYEAR TO DATE

RACES WITH FEWER THAN 6 RUNNERS

20122011

9.8%10.1% 12.3%

16.5%17.4% 20.5%

2013 2015

13.3% 10.9%

15.9% 16.3%

2014

Jump

Flat

12.2%12.9% 15.4%14.3% 12.9%Total

30.0%

2011 2012 2013 2014 2015

22.5%

15.0%

7.5%

0.0%

FIXTURES|RACES|HORSESINTRAINING|OWNERSHIPFIGURES|FOALCROP| OTHER KPIsP

erce

ntag

e of

rac

es w

ith fe

wer

th

an 6

run

ners

by

race

type

101

KEY STATISTICS

RACES WITH 8 (OR MORE) RUNNERS

20122011

71.9%69.9% 63.9%

61.0%60.1% 51.3%

2013 2015

64.8% 65.9%

60.3% 54.8%

2014

Jump

Flat

67.9%66.1% 59.2%63.1% 61.7%Total

2011 2012 2013 2014 2015

80.0%

60%

40%

20%

0.0%Per

cent

age

of r

aces

with

8 o

r m

ore

runn

ers

by r

ace

type

102

RACES WITH ODDS ON FAVOURITES

20122011 2013 20152014

11.2%13.1% 13.7%

16.9%19.8% 18.6%

13.7% 12.7%

17.8% 17.8%

13.3%15.7% 15.6%15.2% 14.6%Total

20.0%

2011 2012 2013 2014 2015

15.0%

10.0%

5.0%

0

Jump

Flat

FIXTURES|RACES|HORSESINTRAINING|OWNERSHIPFIGURES|FOALCROP| OTHER KPIsP

erce

ntag

e of

rac

es w

ith o

dds

on fa

vour

ites

by r

ace

type

103

KEY STATISTICS

TERRESTRIALLY TELEVISED RACES

20122011 2013 20152014

342272 332

195255 205

323 340

186 216

537527 537509 556Total

600

2011 2012 2013 2014 2015

450

300

150

0

Jump

Flat

340272342

323332

216255

195 186 205

Num

ber

of te

rres

tria

lly

tele

vise

d ra

ces

by r

ace

type

105

FINANCIAL STATEMENTS

Profitandloss 106 - 107

Balancesheet 108 - 109

Cashflow 110

Equitychanges 111

Notes 112 - 137


106

CONSOLIDATED PROFIT AND LOSS ACCOUNT (for the year ended 31 December 2015)

CONSOLIDATED OTHER COMPREHENSIVE INCOME / (LOSS) (for the year ended 31 December 2015)

Note 2015 (restated)2014

£'000 £'000

Groupturnover 2 32,453 30,502

Administrativeexpenses (31,346) 30,836

Operating profit / (loss) 1,107 (334)

Otherinterestreceivableandsimilarincome 6 34 73

Interestpayableandsimilarcharges 7 (377) (479)

Profit / (loss) on ordinary activities before taxation 5 764 (740)

Taxationonprofit/(loss)onordinaryactivities 8 537 44

Profit / (loss) for the financial year 16 1,301 (696)

Theprofit/(loss)intheaboveprofitandlossaccountrelateentirelytocontinuingoperations.Thenotesonpages112to138formpartofthesefinancialstatements.


£'000 £'000

Profit / (loss) for the financial year 1,301 (696)

Othercomprehensiveincome

Remeasurementofthenetdefinedbenefitliability 16 (1,785) (1,281)

Total comprehensive loss for the year (484) (1,977)

PROFIT AND LOSS

107


COMPANY PROFIT AND LOSS ACCOUNT (for the year ended 31 December 2015)

OTHER COMPREHENSIVE INCOME / (LOSS) (for the year ended 31 December 2015)


£'000 £'000

Turnover 2 31,124 29,141

Administrativeexpenses (30,015) (29,467)

Operating profit / (loss) 1,109 (326)

Otherinterestreceivableandsimilarincome 6 27 60

Interestpayableandsimilarcharges 7 (377) (479)

Profit / (loss) on ordinary activities before taxation 5 759 (745)

Taxationonprofit/(loss)onordinaryactivities 8 530 67

Profit / (loss) for the financial year 16 1,289 (678)

Theprofit/(loss)intheaboveprofitandlossaccountrelateentirelytocontinuingoperations.Thenotesonpages112to138formpartofthesefinancialstatements.


£'000 £'000

Profit / (loss) for the financial year 1,289 (678)

Othercomprehensiveincome

Remeasurementofthenetdefinedbenefitliability 16 (1,785) (1,281)

Total comprehensive loss for the year (496) (1,959)

108

CONSOLIDATED BALANCE SHEET (at 31 December 2015)


£'000 £'000

Fixed assets

Intangibleassets 9 1,195 1,000

Tangibleassets 10 572 621

1,767 1,621

Current assets

Debtors(including£2,211,000(2014:£2,291,000)dueaftermorethanoneyear) 12 10,813 8,687

Cashatbankandinhand 13 12,731 11,933

23,544 20,620

Creditors:amountsfallingduewithinoneyear 14 (16,411) (14,043)

Net current assets 7,133 6,577

Total assets less current liabilities 8,900 8,198

Provisions for liabilities

Pensionandsimilarobligations 17 (12,801) (11,615)

Net liabilities (3,901) (3,417)

Capital and reserves

Capitalreserve 16 19 19

Profitandlossaccount 16 (3,920) (3,436)

Shareholders’ deficit (3,901) (3,417)

Thesefinancialstatementswereapprovedbytheboardofdirectorson28April2016andweresignedonitsbehalfby:SHarman,Chairman.

BALANCE SHEET

109


COMPANY BALANCE SHEET (at 31 December 2015)


£'000 £'000

Fixed assets

Intangibleassets 9 1,195 1,000

Tangibleassets 10 572 621

Investments 11 3,604 3,604

5,371 5,225

Current assets

Debtors 12 8,401 5,955

Cashatbankandinhand 13 11,407 10,627

19,808 16,582

Creditors:amountsfallingduewithinoneyear 14 (16,326) (13,644)

Net current assets 3,482 2,938

Total assets less current liabilities 8,853 8,163

Provisions for liabilities

Pensionandsimilarobligations 17 (12,801) (11,615)

Net liabilities (3,948) (3,452)


Capitalreserve 16 19 19

Profitandlossaccount 16 (3,967) (3,471)

Shareholders’ deficit (3,948) (3,452)

Thesefinancialstatementswereapprovedbytheboardofdirectorson28April2016andweresignedonitsbehalfby:SHarman,Chairman.

110

CONSOLIDATED CASH FLOW STATEMENT (for the year ended 31 December 2015)


£'000 £'000

Cash flows for operating activities

Operatingprofit/(loss) 1,107 (334)

Adjustmentsfor

Depreciation,amortisationandimpairment 531 530

Interestreceived 34 73

Lossonsaleoffixedasset 1 -

Corporationtaxpaid - (113)

Corporationtaxreclaimedinrespectofpriorperiods 429 65

2,102 221

Increaseindebtors (2,282) (364)

Increaseincreditors 2,368 2,113

Differencebetweencashcontributionsandpensioncharge (2,162) (1,760)

Increaseinpensionliability 1,186 663

Netcashfromoperatingactivities 1,212 873

Cash flows from investing activities

Capitaliseddevelopmentexpenditure (419) (874)

Acquisitionoftangiblefixedassets (259) (336)

Netcashfrominvestingactivities (678) (1,210)

Cash flows from financing activities

Newloansmadetoassociatedundertakings - (53)

Loansreceivedfromassociatedundertakings 264 -

Netcashfromfinancingactivities 264 (53)

Increase / (decrease) in cash and cash equivalents 20 798 (390)

CASH FLOW

111


STATEMENT OF CHANGES IN EQUITY

Capital reserve Profit and loss account Total Equity

£'000 £'000 £'000

Balanceat1January2014 19 (1,459) 1,440

Effectofchangeinaccountingpolicy - - -

Balanceat1January2014(restated) 19 (1,459) 1,440

Total comprehensive income for the period

Profitorloss - (696) (696)

Othercomprehensiveincome - (1,281) (1,281)

Balance at 31 December 2014 19 (3,436) (3,417)

Capitalreserve Profit and loss account TotalEquity

£'000 £'000 £'000

Balanceat1January2015 19 (3,436) 3,417

Total comprehensive income for the period

Profitorloss - 1,289 1,289

Othercomprehensiveincome - (1,785) (1,785)

Balance at 31 December 2015 19 (3,920) (3,901)

AsaresultofadoptingFRS102andrestatingopeningbalancesanamountof£50,000wasreclassifiedashavinggonethroughothercomprehensiveincomeratherthantheprofit

andlossaccount.Forthepurposesofchangesinequitythesetwoamountsoffsetandtheopeningamountintheprofitandlossaccountbeforeandafterrestatementarethesame.

ThereclassificationarisesduetodifferenttreatmentofinterestcostinFRS102comparedtoFRS17.

EQUITY CHANGES

112

1 ACCOUNTING POLICIES

BritishHorseracingAuthorityLimited(the

Company)isacompanylimitedbyguarantee

andincorporatedanddomiciledintheUK.

TheGroupandparentcompanyfinancialstatements

werepreparedinaccordancewithFinancialReporting

Standard102TheFinancialReportingStandard

applicableintheUKandRepublicofIreland(FRS102)

asissuedinAugust2014.Allamountsinthefinancial

statementshavebeenroundedtothenearest£1,000.

InthetransitiontoFRS102fromoldUKGAAP,theGroup

hasmadeoneadjustment.Anexplanationofhowthe

transitiontoFRS102hasaffectedfinancialpositionand

financialperformanceoftheGroupisprovidedinnote22.

FRS102grantscertainfirst-timeadoptionexemptions

fromthefullrequirementsofFRS102.

The following exemptions have been

taken in these financial statements:

Leaseincentives–forleasescommencedbefore1

January2016theGroupandCompanycontinuedto

accountforleaseincentivesunderpreviousUKGAAP.

Theparentcompanyisincludedintheconsolidated

financialstatements,andisconsideredtobeaqualifying

entityunderFRS102paragraphs1.8to1.12.

The following exemptions available under FRS

102 in respect of certain disclosures for the parent

company financial statements have been applied:

Thereconciliationofthenumberofshares

outstandingfromthebeginningtotheendofthe

periodhasnotbeenincludedasecondtime;

NoseparateparentcompanyCashFlow

Statementwithrelatednotesisincluded;and

KeyManagementPersonnelcompensation

hasnotbeenincludedasecondtime;

Separatefinancialinstrumentdisclosure

isnotmadefortheCompanyonly.

Theaccountingpoliciessetoutbelowhave,unless

otherwisestated,beenappliedconsistentlytoall

periodspresentedinthesefinancialstatements.

Judgementsmadebythedirectors,intheapplication

oftheseaccountingpoliciesthathavesignificant

effectonthefinancialstatementsandestimates

withasignificantriskofmaterialadjustmentinthe

nextyeararediscussedinnote15inrelationtothe

fairvalueassessmentoffinancialinstruments.

Measurement convention

Thefinancialstatementsarepreparedonthehistorical

costbasiswiththeexceptionofcertainfinancial

instrumentswhichhavebeenmeasuredatfairvalue.

Going concern

ThedirectorsbelievethattheCompanyandGroup

arewellplacedtomanagetheirbusinessrisks

successfullydespitethecurrentuncertaineconomic

outlook.Thedirectorshaveareasonableexpectation

thattheCompanyhasadequateresourcestocontinue

inoperationalexistencefortheforeseeablefuture.

Thustheycontinuetoadoptthegoingconcernbasisof

accountinginpreparingtheannualfinancialstatements.

Basis of consolidation

Theconsolidatedfinancialstatementsincludethe

financialstatementsoftheCompanyanditssubsidiary

undertakingsmadeupto31December2015.

NOTES (FORMINGPARTOFTHEFINANCIALSTATEMENTS)

113


Asubsidiaryisanentitythatiscontrolledbytheparent.

Theresultsofsubsidiaryundertakingsareincludedin

theconsolidatedprofitandlossaccountfromthedate

thatcontrolcommencesuntilthedatethatcontrol

ceases.ControlisestablishedwhentheCompanyhas

thepowertogoverntheoperatingandfinancialpolicies

ofanentitysoastoobtainbenefitsfromitsactivities.

Inassessingcontrol,theGrouptakesintoconsideration

potentialvotingrightsthatarecurrentlyexercisable.

TheCompanydoesnotownallthesharesinits

subsidiary,BritishHorseracingDatabaseLimited,

withtheminorityshareholdersholding3‘B’and3‘C’

shareseach,comparedtotheCompany’sholdingof

4,003,932‘A’shares.Nominorityinterestsareshownin

theconsolidatedaccountsoftheCompanyas(i)under

theprovisionscontainedwithintheArticlesofBHDthe

‘A’shareholderistheonlyshareholderentitledtoa

distribution,ifandwhenadistributionisdeclaredbythe

Boardand(ii)onawindinguptheassetsaredistributedin

accordancewiththenumberofsharesheldinallclasses.

AnassociateisanentityinwhichtheGrouphassignificant

influence,butnotcontrol,overtheoperatingand

financialpoliciesoftheentity.Significanceinfluence

ispresumedtoexistswhentheinvestorsholds

between20%and50%oftheequityvotingrights.

Ajointventureisacontractualarrangementundertaking

inwhichtheGroupexercisesjointcontroloverthe

operatingandfinancialpoliciesoftheentity.Where

thejointventureiscarriedoutthroughanentity,itis

treatedasajointlycontrolledentity.TheGroup’sshare

oftheprofitslesslossesofassociatesandofjointly

controlledentitiesisincludedintheconsolidatedprofit

andlossaccountanditsinterestintheirnetassetsis

recordedonthebalancesheetusingtheequitymethod.

Intheparentfinancialstatements,investments

arecarriedatcostlessimpairment.

Intangible and tangible fixed assets

Thecostofintangibleandtangiblefixedassetsis

theirpurchasecost,togetherwithanyincidental

costsofacquisition.Assetsunderconstruction

relatestoworkinprogressoncomputerrelated

development.Thiswillbeamortised/depreciated

onceitcomesintouseonthebasissetoutbelow.

Depreciation/amortisationisprovidedsoasto

writeoffthecostoftangibleandintangiblefixed

assetsonastraightlinebasisovertheestimated

usefuleconomiclivesoftheassetsconcerned.

The rates of depreciation / amortisation are as follows:

Leaseholdimprovements: 3-5yearsorlease

term,ifshorter

Contractcomputerdevelopment: 7years

Othercomputerdevelopment: 4years

Fixturesfittingsandofficeequipment: 3-5years

Intangible assets

TheCompanyholdsalicenceforuseoftheDatabase

ofpre-racedataforgovernanceandregulatory

purposes.InaccordancewithFRS102,noamounts

havebeencapitalisedinthebalancesheetinrespect

oftheserights.Thecostofacquiringthisassetis

writtenofftotheprofitandlossaccountasincurred.

Fixed asset investments

Fixedassetinvestmentsinjointventuresandsubsidiaries

areheldatcostlessanyprovisionforimpairment

inthefinancialstatementsoftheCompany.

114

Basic financial instruments

Trade and other debtors / creditors

Tradeandotherdebtorsarerecognisedinitiallyat

transactionpricelessattributabletransactioncosts.Trade

andothercreditorsarerecognisedinitiallyattransaction

priceplusattributabletransactioncosts.Subsequentto

initialrecognitiontheyaremeasuredatamortisedcost

usingtheeffectiveinterestmethod,lessanyimpairment

lossesinthecaseoftradedebtors.Ifthearrangement

constitutesafinancingtransaction,forexampleifpaymentis

deferredbeyondnormalbusinessterms,thenitismeasured

atthepresentvalueoffuturepaymentsdiscountedata

marketrateofinstrumentforasimilardebtinstrument.

Interest-bearing borrowings classified

as basic financial instruments

Interest-bearingborrowingsarerecognisedinitiallyatthe

presentvalueoffuturepaymentsdiscountedatamarket

rateofinterest.Subsequenttoinitialrecognition,interest-

bearingborrowingsarestatedatamortisedcostusingthe

effectiveinterestmethod,lessanyimpairmentlosses.

Investments in preference and ordinary shares

Investmentsinequityinstrumentsaremeasuredinitially

atfairvalue,whichisnormallythetransactionprice.

Transactioncostsareexcludediftheinvestmentsare

subsequentlymeasuredatfairvaluethroughprofitand

loss.Subsequenttoinitialrecognitioninvestmentsthat

canbemeasuredreliablyaremeasuredatfairvaluewith

changesrecognitioninprofitorloss.Otherinvestments

aremeasuredatcostlessimpairmentinprofitorloss.

Investments in subsidiaries, jointly controlled

entities and associates

Theseareseparatefinancialstatementsofthecompany.

Investmentsinsubsidiaries,jointlycontrolledentities

andassociatesarecarriedatcostlessimpairment.

Cash and cash equivalents

Cashandcashequivalentscomprisecashbalancesand

calldeposits.Bankoverdraftsthatarerepayableon

demandandformanintegralpartoftheCompany’scash

managementareincludedasacomponentofcashandcash

equivalentsforthepurposeonlyofthecashflowstatement.

Foreign currencies

Transactionsinforeigncurrenciesarerecordedusing

therateofexchangerulingatthedateofthetransaction.

Monetaryassetsandliabilitiesdenominatedinforeign

currenciesaretranslatedusingthecontractedrateor

therateofexchangerulingatthebalancesheetdate

andthegainsorlossesontranslationareincluded

intheprofitandlossaccount.

Turnover

Turnover,whichexcludesvalueaddedtax(‘VAT’),

representstheinvoicedvalueofgoodsandservices

suppliedinconnectionwiththeadministrationof

horseracinginGreatBritain.TheGrouprecognises

incomeandcostsupontransferoftitleofgoodsor

performanceofservicesandincomeisrecognisedin

thefinancialstatementsoftheCompanywhenearned.

Inaddition,includedwithinGroupturnoverare

amounts(excludingVAT)derivedfromincome

fromsignedlicenceagreementswiththirdparties.

ThelicenceincomestreamsderivedbytheGroup

arerecognisedintheperiodtheyrelateto.

Related party disclosure

RelatedPartyDisclosuresrequiresthedisclosure

ofthedetailsofmaterialtransactionsbetween

theGroupandanyrelatedparties,asdefined.

Detailsofmaterialrelatedpartytransactionsare

includedinnote21tothefinancialstatements.

115


TheDirectorsconsiderthattopublishrelatedparty

disclosures,ofthetransactionsandyearendbalances

betweentheCompanyandentitieswhichformpart

oftheBritishHorseracingAuthorityLimitedgroup

wouldbedisproportionatelyonerousandwouldserve

littlepurposegiventheinformationisavailableto

themembersintheordinarycourseofbusiness.

Accordingly,theyhavedecidednottodisclose

suchinformationinthesefinancialstatements.

Provisions

Aprovisionisrecognisedinthebalancesheetwhenthe

entityhasapresentlegalorconstructiveobligationas

aresultofapastevent,thatcanbereliablymeasured

anditisprobablethatanoutflowofeconomicbenefits

willberequiredtosettletheobligation.Provisions

arerecognisedatthebestestimateoftheamount

requiredtosettletheobligationatthereportingdate.

Taxation

Taxontheprofitorlossfortheyearcomprises

currentanddeferredtax.Taxisrecognisedinthe

profitandlossaccountexcepttotheextentthatit

relatestoitemsrecogniseddirectlyinequityorother

comprehensiveincome,inwhichcaseitisrecognised

directlyinequityorothercomprehensiveincome.

Currenttaxistheexpectedtaxpayableorreceivable

onthetaxableincomeorlossfortheyear,usingtax

ratesenactedorsubstantivelyenactedatthebalance

sheetdate,andanyadjustmenttotaxpayablein

respectofpreviousyears.

Deferredtaxisprovidedontimingdifferenceswhich

arisefromtheinclusionofincomeandexpensesintax

assessmentsinperiodsdifferentfromthoseinwhich

theyarerecognisedinthefinancialstatements.Deferred

taxisnotrecognisedonpermanentdifferencesarising

becausecertaintypesofincomeorexpensearenon-

taxableoraredisallowablefortaxorbecausecertain

taxchargesorallowancesaregreaterorsmaller

thanthecorrespondingincomeorexpense.

Deferredtaxismeasuredatthetaxratethatisexpected

toapplytothereversaloftherelateddifference,using

taxratesenactedorsubstantivelyenactedatthebalance

sheetdate.Deferredtaxbalancesarenotdiscounted.

Unrelievedtaxlossesandotherdeferredtaxassets

arerecognisedonlytotheextentthatisitprobable

thattheywillberecoveredagainstthereversalof

deferredtaxliabilitiesorotherfuturetaxableprofits.

Operating leases

Payments(excludingcostsforservicesandinsurance)

madeunderoperatingleasesarerecognisedintheprofit

andlossaccountonastraight-linebasisoverthetermof

theleaseunlessthepaymentstothelessorarestructured

toincreaseinlinewithexpectedgeneralinflation;inwhich

casethepaymentsrelatedtothestructuredincreases

arerecognisedasincurred.Leaseincentivesreceived

arerecognisedinprofitandlossoverthetermofthe

leaseasanintegralpartofthetotalleaseexpense.

Employee benefits

Defined contribution plans and other

long term employee benefits

Adefinedcontributionplanisapost-employment

benefitplanunderwhichthecompanypaysfixed

contributionsintoaseparateentityandwillhaveno

legalorconstructiveobligationtopayfurtheramounts.

Obligationsforcontributionstodefinedcontribution

pensionplansarerecognisedasanexpenseinthe

profitandlossaccountintheperiodsduring

whichservicesarerenderedbyemployees.

116

Defined benefit plans

Adefinedbenefitplanisapost-employmentbenefitplan

otherthanadefinedcontributionplan.Theentity’snet

obligationinrespectofadefinedbenefitplaniscalculated

byestimatingtheamountoffuturebenefitthatemployees

haveearnedinreturnfortheirserviceinthecurrentand

priorperiods;thatbenefitisdiscountedtodetermine

itspresentvalue.Thefairvalueofanyplanassetsis

deducted.Theentitydeterminesthenetinterestexpense

(income)onthenetdefinedbenefitliability(asset)for

theperiodbyapplyingthediscountrateasdetermined

atthebeginningoftheannualperiodtothenetdefined

benefitliability(asset)takingaccountofchangesarising

asaresultofcontributionsandbenefitpayments.

Thediscountrateistheyieldatthebalancesheetdateon

AAcreditratedbondsdenominatedinthecurrencyof,and

havingmaturitydatesapproximatingtothetermsofthe

entity’sobligations.Avaluationisperformedtrienniallyby

aqualifiedactuaryandthepositionupdatedannuallyusing

theprojectedunitcreditmethod.Theentityrecognisesnet

definedbenefitplanassetstotheextentthatitisableto

recoverthesurpluseitherthroughreducedcontributions

inthefutureorthroughrefundsfromtheplan.

Changesinthenetdefinedbenefitliabilityarisingfrom

employeeservicerenderedduringtheperiod,netinterest

onnetdefinedbenefitliability,andthecostofplan

introductions,benefitchanges,curtailmentsandsettlements

duringtheperiodarerecognisedinprofitorloss.

Remeasurementofthenetdefinedbenefitliability/

assetisrecognisedinothercomprehensive

incomeintheperiodinwhichitoccurs.

Termination benefits

Terminationbenefitsarerecognisedasanexpensewhen

theentityisdemonstrablycommitted,withoutrealistic

possibilityofwithdrawal,toaformaldetailedplantoeither

terminateemploymentbeforethenormalretirementdate.

117


2 SEGMENTAL INFORMATION – GROUP AND COMPANY

Racing administration Data licensing Total

2015 2015 2015

£'000 £'000 £'000

Turnover

UnitedKingdomandRepublicofIreland 30,672 1,781 32,453

Overseas - - -

Total sales - Group 30,672 1,781 32,453

Intragrouprevenue(Companyonly) 452

Total sales - Company 31,124

Total operating profit / (loss) before interest and taxation 1,108 (1) 1,107

Net liabilities (3,474) (427) (3,901)

Racing administration Data licensing Total

2014 2014 2014

£'000 £'000 £'000

Turnover

UnitedKingdomandRepublicofIreland 28,751 1,750 30,501

Overseas - 1 1

Total sales 28,751 1,751 30,502

Intragrouprevenue(Companyonly) 390

Total sales - Company 29,141

Total operating loss before interest and taxation (330) (4) (334)

Net liabilities (2,991) (426) (3,417)

TheGrouphastwoclassesofbusiness,datalicensingandracingadministration,bothofwhichoriginateintheUK.

Turnoverisdividedbetweentwogeographicaldestinations,andisallgeneratedthroughthirdparties.Itisnotpossible

tosplitthe(loss)/profitbeforeinterestandtaxationorthenetliabilitiesbygeographicaldestination.

118

3 REMUNERATION OF DIRECTORS AND KEY MANAGEMENT

TheremunerationpayabletoeachofthedirectorsofBritishHorseracingAuthorityLimitedfortheyearwas:

2015 2014

£'000 £'000

PABittar - 443

NJRust 406 -

SRHarman 100 100

AWKMerriam 22 20

MGGray - 18

DGGunn 18 35

WGFarnsworth - 12

JJWWadham - 18

MSJohnston - 12

DLWhyte 22 2

JWSaumarezSmith 22 2

ADuncan 22 2

EWilmott 22 2

JAHarrington 22 2

ENHarwerth 22 2

DAThorpe 20 1

JRArnold 19 -

SirPRStevenson 18 -

NMHJones - 5

Total 735 676

Theaboveincludesamountsof£nil(2014:£30,000)paidtothirdpartiesinrespectofthemmakingavailabletheservices

ofMGGrayandWGFarnsworth.ThecostsofNRustfor2015andPBittarfor2014,whowasChiefExecutive,arealso

representedwithinthecostsincludedinnote4.

2015 2014

Retirementbenefitsareaccruingtothefollowingnumberofdirectorsunder:

Moneypurchaseschemes 1 1

Theaggregateofemolumentsandamountsreceivableunderlongtermincentiveschemesofthehighestpaiddirector

was£406,000(2014:£443,000),andCompanypensioncontributionsof£24,000(2014:£43,500)weremadetoamoney

purchaseschemeonhisbehalf.

119


4 STAFF NUMBERS AND COSTS

TheaveragenumberofpersonsemployedbytheCompanyduringtheyearwas211(2014:202).

Theaggregatepayrollcostsofthesepersonswereasfollows:

2015 2014

£'000 £'000

Wagesandsalaries 9,283 8,941

Pensioncosts 1,241 1,193

Socialsecuritycosts(restated) 956 913

11,480 11,047

SocialsecuritycostshavebeenrestatedtoaccuratelyreflecttheNationalInsurancecontributionspayablebythe

Company.The2014reportedfigureincludingotheramountsnotrelatedtoNationalInsurance.

TheCompanyoperatesHMRCapprovedsalarysacrificeschemesformakingpensioncontributionsandformileageclaims.

5 EXPENSES AND AUDITOR’S REMUNERATION

2015 2014

Includedinprofit/lossarethefollowing: £'000 £'000

Depreciation/amortisationchargefortheyear:

Tangibleownedfixedassets 307 436

Intangibleownedfixedassets 224 94

Lossondisposaloffixedassets 1 -

Operatingleases:

Buildingrentals 777 620

Carleases 350 345

Photocopierleases 37 56

Auditor’sremuneration:

Auditofthesefinancialstatements 41 41

Amountsreceivablebyauditorsandtheirassociatesinrespectof:

Auditoffinancialstatementsofsubsidiariesofthecompany 13 13

Taxationcomplianceservices 22 25

Othertaxadvisoryservices 12 38

Allotherservices 1 1

120

6 OTHER INTEREST RECEIVABLE AND SIMILAR INCOME - GROUP

2015 2014

£'000 £'000

Bankinterest 34 72

Loaninterest - 1

34 73

Other interest receivable and similar income - Company 2015 2014

£'000 £'000

Bankinterest 27 60

27 60

7 INTEREST PAYABLE AND SIMILAR CHARGES

2015 2014

£'000 £'000

Interestonassets 2,094 2,295

Interestonliabilities (2,471) (2,774)

Net interest expense on net defined benefit liabilities (377) (479)

121


8 TAXATION - GROUP

2015 2014

£'000 £'000

Analysisofcurrenttaxrecognisedinprofitandloss

UKcorporationtaxat20.25%(2014:21.5%)

Taxonincomefortheperiod (1) (114)

Adjustmentinrespectofpriorperiods (536) 70

Total tax credit (537) (44)

Reconciliation of effective tax rate 2015 2014

£'000 £'000

Profit/(loss)excludingtaxation 764 (740)

TaxusingtheUKcorporationtaxrateof20.25%(2014:21.5%) 155 (159)

Effectsof:

Expensesnotdeductiblefortaxpurposes 60 75

Pensioncostsnotimmediatelydeductible (121) (144)

Unrecognisedlossescarriedforward - 142

Taximpactofprioryearadjustment - 11

R&Dtaxcreditstooffsettradingprofits (25) -

R&Dtaxcreditsexchangedforcash (288) -

(over)/underprovidedinprioryear (248) 70

Capitalallowancesinexcessofdepreciation (70) (39)

Total current tax credit (see above) (537) (44)

TheCompanyhasclaimedR&Dtaxcreditsforyears2012,2013and2014.Aproportionofthesehavebeenusedtooffset

previouspaymentsofcorporationtaxandareclaimhasbeenprocessedbyHMRC.Thiselementisincludedintheover

provisionofprioryears.Afurtherelementhasbeenexchangedforcashastherearenolossestousethesecredits

against,thisamountof£288,000isshownseparately.TheCompanywillcontinuetoseektoclaimthesegoingforward,

whereappropriate,andwillonlyincludeanamountinrespectofthecurrentyearsuchthatitoffsetsanylikelytax

chargeontradingprofits.ThefullamountwillbeincludedonlyonceclaimedandreceivedfromHMRC.

TheimplementationofFRS102andrelatedrestatementshavenotrequiredanychangetotheabovetaxcalculationfor

currentorprioryear.

122

Factors that may affect future tax charges:

Adeferredtaxassetof£2,592,000(2014:£2,497,000)hasnotbeenrecognisedoneithertheGroup’spensionscheme

liability,thepensionpaymentsarenotdeductibleuntilfutureyears.Thisisduetotheuncertaintyoftherebeing

sufficienttaxableprofitsinfutureyearstoenablesuchtaxdeductionstobeclaimed.

Taxation Comany 2015 2014

£'000 £'000

Analysisofcurrenttaxrecognisedinprofitandloss

UKcorporationtaxat20.25%(2014:21.5%)

Taxonincomefortheperiod - (120)

Adjustmentinrespectofpriorperiods (530) 53

Total current tax credit (530) (67)

Reconciliation of effective tax rate 2015 2014

£'000 £'000

Profit/(loss)excludingtaxation 759 (745)

Currenttaxat20.25%(2014:21.5%) 154 (160)

Effectsof:

Expensesnotdeductiblefortaxpurposes 55 62

Pensioncostsnotimmediatelydeductible (121) (144)

Unrecognisedlossescarriedforward - 146

Taximpactofprioryearadjustment - 11

R&Dtaxcreditstooffsettradingprofits (20) -

R&Dtaxcreditsexchangedforcash (288) -

(over)/underprovidedinprioryear (242) 53

Capitalallowancesinexcessofdepreciation (68) (35)

Total current tax credit (see above) (530) (67)

TheCompanyhasclaimedR&Dtaxcreditsforyears2012,2013and2014.Aproportionofthesehavebeenusedtooffset

previouspaymentsofcorporationtaxandareclaimhasbeenprocessedbyHMRC.Thiselementisincludedintheover

provisionofprioryears.Afurtherelementhasbeenexchangedforcashastherearenolossestousethesecredits

against,thisamountof£288,000isshownseparately.TheCompanywillcontinuetoseektoclaimthesegoingforward,

whereappropriate,andwillonlyincludeanamountinrespectofthecurrentyearsuchthatitoffsetsanylikelytax

chargeontradingprofits.ThefullamountwillbeincludedonlyonceclaimedandreceivedfromHMRC.

123


TheimplementationofFRS102andrelatedrestatementshavenotrequiredanychangetotheabovetaxcalculation

forcurrentorprioryear.

Factors that may affect future tax charges:

Adeferredtaxassetof£2,592,000(2014:£2,497,000)hasnotbeenrecognisedoneithertheCompany’spension

schemeliability,thepensionpaymentsarenotdeductibleuntilfutureyears.Thisisduetotheuncertaintyofthere

beingsufficienttaxableprofitsinfutureyearstoenablesuchtaxdeductionstobeclaimed.

9 INTANGIBLE FIXED ASSETS – GROUP AND COMPANY (RESTATED)

Assets under

Development Costs Construction Total

£'000 £'000 £'000

Cost

At1January2015 752 344 1,096

Additions 331 88 419

Transfers 344 (344) -

Disposals - - -

At 31 December 2015 1,427 88 1,515

Amortisation

At1January2015 96 - 96

Chargefortheyear 224 - 224

Disposals - - -

At 31 December 2015 320 - 320

Net book value

At 31 December 2015 1,107 88 1,195

At1January2015 656 344 1,000

InlinewiththeprovisionsofFRS102,theabovebalanceswereincludedintangiblefixedassetspreviouslyand

havenowbeenreclassifiedasintangiblefixedassetsastheyrelatetocomputerdevelopmentcosts.

Thesecostsareeitheramortisedover4yearsforexternaldevelopmentorovertheremaininglifeofthe

contracttowhichthedevelopmentrelates.Thismethodofamortisationisbelievedtobefairandappropriate

andrepresenttheusefuleconomiclifeoftheassetinthemostappropriatemanner.Theamortisationcharge

isincludedwithadministrativeexpenses.

124

10 TANGIBLE FIXED ASSETS – GROUP AND COMPANY (RESTATED)

Leasehold Fixtrues, fittings

improvements and office equipment Total

£'000 £'000 £'000

Cost

At1January2015 1,146 2,916 4,062

Additions 4 255 259

Transfers - - -

Disposals - (181) (181)

At 31 December 2015 1,150 2,990 4,140

Depreciation

At1January2015 974 2,467 3,441

Chargefortheyear 82 225 307

Disposals - (180) (180)

At 31 December 2015 1,056 2,512 3,568

Net book value

At 31 December 2015 94 478 572

At1January2015 172 449 621

InlinewiththeprovisionsofFRS102,theabovebalancespreviouslyincluded£1,000,000whichhasnowbeenreclassified

asintangiblefixedassetsastheyrelatetocomputerdevelopmentcosts.Thisisshowninnote9.

125


11 FIXED ASSET INVESTMENTS - COMPANY

Shares in Group

Undertakings Total

£'000 £'000

Cost

At1Januaryand31December2015 4,004 4,004

Provision

At1Januaryand31December2015 (400) (400)

Net book value

At 1 January and 31 December 2015 3,604 3,604

The Company has the following direct investments:

Country of Number of Class of Ownership 2015 Ownership 2014

incorporation shares shares held % %

BritishHorseracing

DatabaseLimited UK 4,003,932 Ordinary 100 100

BritishHorseracingLimited* UK 2 Ordinary 100 100

BritishHorseracing

BoardLimited* UK 2 Ordinary 100 100

HorseracingRegulatory

AuthorityLimited* UK 1,000 Ordinary 100 100

Thethreecompaniesmarkedwith*arealldormantcompaniesandnolongertrade.

The Company has the following indirect investments through its subsidiaries:

Country of Number of Class of Ownership 2015 Ownership 2014

incorporation shares shares held % %

RacingEnterprisesLimited UK 4,003,932 Ordinary 99.99985 99.99985

BritishChampionsSeriesLimited UK 132 Ordinary 13.9 13.9

126

12 DEBTORS

Group Company

2015 2014 2015 2014

£'000 £'000 £'000 £'000

Tradedebtors 4,002 3,819 3,463 3,162

Amountsowedbygroup

undertakings - - 466 335

Corporationtaxasset 267 159 246 145

Otherdebtors 3,560 1,638 3,550 1,638

AmountsowedbyBCSLimited 2,302 2,391 - -

Prepaymentsandaccruedincome 682 680 676 675

10,813 8,687 8,401 5,955

Duewithinoneyear 8,602 6,396 8,401 5,955

Dueafteroneyear 2,211 2,291 - -

10,813 8,687 8,401 5,955

Includedwithinotherdebtorsisabalanceof£325,000(2014:£500,000)whichhasbeenfullyprovidedforandthereforehas

anetcarryingvalueof£nil(2014:£nil).Arepaymentof£175,000wasreceivedduringtheyearinrelationtothisbalance.

Theaboveloanbalanceof£2,302,000representsanamountdrawndownbyBCS.Thisloanwillberepaidbetween1

January2016and31December2025overwhichtimeinterestof£486,000willhavebeenearned.Theinterestrate

chargedvariesaccordingtowhichelementoftheloanitrelatesto.Thefirstrepaymentof£91,000isscheduledfor2016.

TheloantoBCSLimitedisstatedatfairvaluecalculatedusinganinterestratewhichthedirectorsbelieveaccurately

representsamarketrate.Allotherfinancialinstrumentsareheldatfairvalueastheyarerepayableondemand.

127


13 CASH

Includedwithinthecashbalancearethefollowingringfencedbalances:

Group and Company

2015 2014

£'000 £'000

EarlyClosingmonies 522 483

DevelopmentFund 191 291

OnCoursephysios 15 12

BritishOwnersandBreedersIncentiveScheme 506 677

Plus10bonusscheme 2,631 2,187

BHAGrantScheme 520 28

Trainersbenevolentfund 20 -

Industryrecruitmentandtraininggrantfund 420 -

Prizemoneyduefordistribution 1,522 1,380

6,347 5,058

14 CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Group Company

2015 2014 2015 2014

£'000 £'000 £'000 £'000

Tradecreditors 3,153 2,651 2,906 2,305

Amountsowedtogroup

undertakings - - 239 20

Ringfencedfunds(note13) 6,347 5,058 6,347 5,058

Corporationtax - 68 - 68

Othertaxesandsocialsecurity 277 587 277 577

Othercreditors 5,402 4,296 5,325 4,243

Accrualsanddeferredincome 1,232 1,383 1,232 1,373

16,411 14,043 16,326 13,644

Allfinancialinstrumentsareheldatfairvalueandarepayableondemand.

128

15 CARRYING AMOUNT OF FINANCIAL INSTRUMENTS - GROUP

The carrying amounts of the financial assets and liabilities include:

2015 2014

£'000 £'000

Assetsmeasuredatfairvaluethroughprofitorloss 10,546 8,528

Liabilitiesmeasuredatfairvaluethroughprofitorloss 10,262 8,330

AlloftheGroup’sassetsandliabilitiesareheldatfairvalue.Inthecaseofdebtorsthisisthesameasbookvalueasthe

debts,withtheexceptionoftheloanfromRELtoBCS,arerepayableondemand.Similarlyallliabilitiesareheldatfair

valueastheyarepayableondemand.

InrelationtotheloanfromRELtoBCSthefairvaluehasbeendeterminedbyreviewinganappropriaterateofborrowing

availablebothatthetimeoftheinitialloanbeinggrantedin2011andwhentheloanwasextendedandrenegotiatedin

2013.GiventhatBCSisjointlyownedbyacombinationofthegroup(whoown13.9%)andotherlargerracecoursesand

racecoursegroups,itisreasonableindetermininganappropriatediscountratetoreviewthemajorshareholdersability

toborrowasawayofassessinghowtovaluetheloan.UsingavarietyofindicatorsincludingLIBORplus0.8%,LIBORplus

2.5%andtheinterestrateonloanavailablefromwithintheRacingindustry,averagingthesesourcesgivesarateof3.25%

whichhasbeenapplied.Usingthisratetodiscounttheloansgivesafairvalueinlinewiththeamountshowninnote12.

ThegroupbelievesthatthereisminimalcreditriskgiventhesuccessofBCSsinceinceptionandunlessthefirst

repaymentduein2016isnotmadeinaccordancewiththerepaymentplanthenitwillcontinuetotakeapositiveviewof

therecoverabilityandthereforefairvalueofthisloangoingforward.

129


16 RESERVES - GROUP

Profit and

Capital reserve loss account Total

£'000 £'000 £'000

At1January2015 19 (3,436) (3,417)

Profitforthefinancialyear - 1,301 1,301

Remeasurementofthenetdefinedbenefitliability - (1,785) (1,785)

At 31 December 2015 19 (3,920) (3,901)

Reserves - Company Profit and

Capital reserve loss account Total

£'000 £'000 £'000

At1January2015 19 (3,471) (3,452)

Profitforthefinancialyear - 1,289 1,289

Remeasurementofthenetdefinedbenefitliability - (1,785) (1,785)

At 31 December 2015 19 (3,967) (3,948)

17 PENSION SCHEME

Overview

TheCompanyoperatesapensionschemeforitsemployees,theBritishHorseracingAuthorityPensionScheme(‘the

Scheme’).TheSchemehastwosections,adefinedbenefitsectionwhichclosedtofutureaccrualon31December2015

andadefinedcontributionsectionintowhichallemployeesarenowmembers.Thedefinedcontributionsectionisalso

usedforthepurposesofautoenrolment.

Defined benefit section

Thedefinedbenefitsectionwasclosedtofutureaccrualon31December2015.Priortothis,thedefinedbenefitsection

hasbeenbaseduponcareeraveragerevaluedearnings.

ThelatestfullactuarialvaluationofthedefinedbenefitsectionoftheSchemewascarriedoutat31December2014and

wasupdatedforFRS17purposesto31December2015byaqualifiedindependentactuary.

130

Thecompanywillcontribute£1,158,000asanannualdeficitrepairpaymentin2016andhasarecoveryplanagreed

withthetrusteesoftheSchemethatisinplaceuntilSeptember2024.

ThetrusteesoftheSchemehaveaguaranteefromtheHorseraceBettingLevyBoard(HBLB)thatiftheBHAdoesnot

makeitsannualpaymentsforeithertheannualdeficitpaymentoritsongoingservicescontributionsthentheHBLB

willmakethesepayments.Thisguaranteeiseffectiveuntiltheearlierof30September2024orthedateatwhichthe

Schemedeficitusingthe2007actuarialassumptionshasbeenfullypaidoff.

InadditiontheEmployermeetsthecostsofadministeringtheScheme,thecostoflumpsumdeathinserviceinsurance

premiumsandLeviespayablebytheScheme.

Net pension liability:

Value at 31 Valueat31

December 2015 December2014

£'000 £'000

Definedbenefitobligation (72,126) (71,668)

Planassets 59,325 60,053

Deficit (12,801) (11,615)

Relateddeferredtaxasset - -

Netpensionliability (12,801) (11,615)

Movements in present value of defined benefit obligation:



£'000 £'000

Atstartofyear 71,668 61,083

Currentservicecost 725 627

Interestcost 2,471 2,774

Actuariallosses/(gains)duetoassumptionchanges (3,758) 9,371

Experience(gain)/loss 3,147 -

Contributionsbymembers 14 13

Benefitspaid (2,141) (2,200)

Atendofyear 72,126 71,668

131


Movements in fair value of plan assets:



£'000 £'000

Atstartofyear 60,053 50,131

Interestonassets 2,094 2,295

Actuarialgain/(loss)onschemeassets (2,396) 8,040

Contributionsbyemployer 1,701 1,724

Contributionsbymembers 14 13

Benefitspaid (2,141) (2,200)

At end of year 59,325 60,053

Expense recognised in the profit and loss account:

31 December 2015 31December2014

£'000 £'000

Currentservicecost (725) (627)

Netinterestonnetdefinedbenefitliability (377) (479)

Total expense recognised in profit and loss (1,102) (1,106)

Thetotalamountrecognisedinothercomprehensiveincomeisalossof£1,785,000(2014:lossof£1,281,000).

Cumulativeactuariallossesreportedinothercomprehensiveincomeforaccountingperiodsendingonorafter

22June2002,arelossesof£15,860,000(2014:£14,075,000).

Scheme assets:

ThefairvalueoftheScheme’sassets,whicharenotintendedtoberealisedintheshorttermandmaybesubjectto

significantchangebeforetheyarerealised,were:



£'000 £'000

Equitiesandotherreturnseekingassets 18,120 20,049

Bondsandotherdefensiveassets 39,902 38,808

Property 1,166 1,084

Cash 137 112

Total market value of assets 59,325 60,053

Actual return on plan assets (302) 10,385

132

The expected rates of return on the assets in the Scheme were:

Long term rate of return Longtermrateofreturn


% %

Equitiesandotherreturnseekingassets 6.50 6.50

Bondsandotherdefensiveassets 3.50 3.50

Property 6.50 6.50

Cash N/A N/A

Theweightedaverageexpectedlongtermreturnonplanassetsis3.5%(2014:3.5%).

Theoverallexpectedrateofreturniscalculatedbyweightingtheindividualratesinaccordancewiththeanticipated

balanceintheplan’sinvestmentportfolio.

The major assumptions used in this valuation by the actuary were (in normal terms):


% £'000

Rateofincreaseinsalaries 3.30 3.30

Inflation(ConsumerPriceIndex) 2.50 2.50

Inflation(RetailPriceIndex) 3.30 3.30

Rateofincreaseinpensionsinpayment 2.50 - 5.00 2.50-5.00

Discountrateappliedtoschemeliabilities 3.80 3.50

Invaluingtheliabilitiesofthepensionfundat31December2015,mortalityassumptionshavebeenmadeasindicatedbelow.

Theassumptionsrelatingtolongevityunderlyingthepensionliabilitiesatthebalancesheetdatearebasedonstandard

actuarialmortalitytablesandincludeanallowanceforfutureimprovementsinlongevity.

The assumptions are equivalent to expecting a 65-year old to live for a number of years as follows:

Currentpensioneraged65:22.8years(male),24.9years(female).

Futureretiree,currentlyaged45,uponreaching65:24.1years(male),26.4years(female).

Theassumptionsusedbytheactuaryarechosenfromarangeofpossibleactuarialassumptionswhich,duetothe

timescalecovered,maynotnecessarilybeborneoutinpractice.

133


The history of the plans for the current and prior periods is as follows:

2015 2014 2013 2012 2011

£'000 £'000 £'000 £'000 £'000

Presentvalueofschemeliabilities (72,126) (71,668) (61,083) (61,689) (52,655)

Fairvalueofschemeassets 59,325 60,053 50,131 49,125 45,555

Deficit (12,801) (11,615) (10,952) (12,564) (7,100)

Experience adjustments:

Year ending Yearending Yearending

31 December 2015 31December2014 31December2013

Differencebetweentheexpectedandactualreturnonschemeassets:

Amount(£'000) (2,396) 8,090 (599)

Percentageofyearendschemeassets 4% 13% 1%

Experience(gains)andlossesonschemeliabilities:

Amount(£'000) 3,147 - (11)

Percentageofyearendschemeliabilities 4% - 0%

Totalamountrecognisedinothercomprehensiveincome:

Amount(£'000) (1,785) (1,281) 911

Percentageofyearendschemeliabilities 2% 2% 1%

TheCompanyandemployeesarepayingcontributionstothedefinedbenefitelementoftheschemeattherates

recommendedbytheSchemeActuary.Cashcontributionstothedefinedbenefitelementamountedto£1,706,461

totheSchemein2015(2014:£1,695,851).

Analysis of amount recognised in other comprehensive income:

Year ending Yearending Yearending

31 December 2015 31December2014 31December2013

£'000 £'000 £'000

Actuarialgainonschemeassets (2,396) 8,090 (599)

Changesinactuarialassumptions 3,758 (9,371) 1,499

Experiencegains/(losses) (3,147) - 11

Actuarial gain / (loss) recognised in other comprehensive income (1,785) (1,331) 911

134

Analysis of amount recognised in other comprehensive income (continued):

Year ending Yearending


£'000 £'000

Actuarialgainonschemeassets 1,599 1,696

Changesinactuarialassumptions (7,100) (2,544)

Experiencegains/(losses) (527) -

Actuarial gain / (loss) recognised in other comprehensive income (6,028) (848)

Defined contribution section

TheCompany’scontributiontothedefinedcontributionschemeischargedtotheprofitandlossaccountinthe

periodinwhichtheyarepaidandamountedto£692,486in2015(2014:£661,325).

InadditiontheCompanypaid£nilintothepersonalpensionschemesofcertainemployees(2014:£nil).

18 LIABILITY OF MEMBERS

ThefourmembersoftheCompanyhaveundertakentocontributeasumnotexceeding£1eachtomeettheliabilitiesof

theCompanyintheeventthatitiswoundup.

19 COMMITMENTS

TheGrouphasacontractwithWeatherbysThoroughbredLimitedfortheprovisionofsubstantialracingandgeneral

administrationserviceswhichexpiresattheendof2020.

At31December2015theGroupandCompanyhadannualcommitmentsundernon-cancellableoperatingleasesasfollows:

2015 2015 2014 2014

Land and Buildings Other LandandBuildings Other

£'000 £'000 £'000 £'000

Expiringwithinoneyear - 30 - 43

Expiringbetweenone

andfiveyearsinclusive 850 284 - 304

Overfiveyears - - 772 -

850 314 772 343

135


In2015,theleasecommitmentsincludedinotherrelatetomotorcars.In2014,theleasecommitmentsinother

relatetomotorcarsandphotocopiers.

20 ANALYSIS OF NET FUNDS

At1January2015 CashFlow At 31 Decembeer 2015

£'000 £'000 £'000

Cashatbankandinhand 9,933 2,028 11,961

Shorttermdeposits 2,000 (1,230) 770

Total 11,933 798 12,731

21 RELATED PARTY TRANSACTIONS

ThedirectorsconsiderthatthedisclosuresrequiredbyFRS102ofthetransactionsandyearendbalancesbetweenthe

CompanyandentitieswhichformpartoftheBritishHorseracingAuthorityLimitedgroupwouldbedisproportionately

onerousandwouldservelittlepurposegiventheinformationisavailabletothemembersintheordinarycourseof

business.Accordingly,theyhavedecidednottodisclosesuchinformationintheseaccounts.

Identity of related parties with which the Company has transacted

Thecompanyhastransactedwiththefollowingrelatedparties,allofwhicharerelatedbyvirtueofoneoftheir

employeesbeingamemberoftheBoardoftheCompany.

RacecourseAssociationLimited

RacehorseOwnersAssociationLimited

ThoroughbredBreedersAssociation

FakenhamRacecourseLimited

NationalTrainersFederation–from19January2015

Horsemen’sGroup

BritishChampionsSeriesLimited

136

Other related party transactions:

Sales to Administrative expenses incurred from

2015 2014 2015 2014

£'000 £'000 £'000 £'000

RacecourseAssociationLimited 42 39 7 19

RacehorseOwnersAssociationLimited 140 80 - 2

ThoroughbredBreedersAssociation 19 2 - -

FakenhamRacecourseLimited 178 131 - -

NationalTrainersFederation 3 N/A - N/A

Horsemen’sGroup - - (175) -

BritishChampionsSeriesLimited - - - -

421 267 168 21

Receivables outstanding Creditors outstanding

2015 2014 2015 2014

£'000 £'000 £'000 £'000

RacecourseAssociationLimited 11 8 - -

RacehorseOwnersAssociationLimited 28 32 - -

ThoroughbredBreedersAssociation - - - -

FakenhamRacecourseLimited - - - -

NationalTrainersFederation - - - -

Horsemen’sGroup - - - -

BritishChampionsSeriesLimited 2,302 2,391 - -

2,379 2,445 - -

137


22 EXPLANATION OF TRANSITION TO FRS 102 FROM OLD UK GAAP

Asstatedinnote1,thesearetheGroup’sfirstfinancialstatementspreparedinaccordancewithFRS102.Theaccounting

policiessetoutinnote1havebeenappliedinpreparingthefinancialstatementsfortheyearended31December2015

andthecomparativeinformationpresentedinthesefinancialstatementsfortheyearended31December2014.

InpreparingitsFRS102balancesheet,theGrouphasadjustedamountsreportedpreviouslyinfinancialstatements

preparedinaccordancewithitsoldbasisofaccounting(UKGAAP).Anexplanationofanychangesarisingduetothe

changefromUKGAAPtoFRS102issetoutbelow.Therehavebeennochangestoanyotherareas.

Balance sheet:

2014 2015

Effectof Effect of

transitionto transition to

UKGAAP FRS102 FRS102 UK GAAP FRS 102 FRS 102

Note £'000 £'000 £'000 £'000 £'000 £'000

Fixed assets

Intangibleassets 9 - 1,000 1,000 - 1,195 1,195

Tangibleassets 10 1,621 (1,000) 621 1,767 (1,195) 572

Debtorsfallingdue

aftermorethanoneyear 12 2,291 (2,291) - 2,211 (2,211) -

Current assets

Debtors 12 - 2,291 2,291 - 2,211 2,211

Net assets 3,912 - 3,912 3,978 - 3,978


DuetodifferencesbetweenFRS102andFRS17-RetirementBenefits,therehasbeenaprioryearadjustmenttothe

broughtforwardprofitandlossaccountwith£50,000beingreclassifiedasdistributablewhichhavepreviouslypassed

throughtheStatementofTotalRecognisedGainsandLosses.

139


All figures within the document are correct as of time of print 06.06.16

Certain images within this publication are reproduced with the permission of Racingfotos Limited.

AnelectronicversionofthisbookletisavailableinPDFformatonourwebsite.

British Horseracing Authority75 High Holborn, London, WC1V 6LS

Switchboard:020 7152 0000Mediaenquiries:020 7152 0166

www.britishhorseracing.com

ww

w.d

esig

nbyt

ange

rine

.co.

uk

ANNUAL REPORT AND ACCOUNTS 2015 - The British Horseracing ...€¦ · 2015 Highlights 6 - 7...

Documents

Transcript of ANNUAL REPORT AND ACCOUNTS 2015 - The British Horseracing ...€¦ · 2015 Highlights 6 - 7...