Gibraltar-based online betting operators bet365 and 32Red have agreed a voluntary contribution to help fund horse racing in the UK, joining Betfair as Authorised Betting Partner (ABP) of British Racing.
British Horseracing Authority (BHA) chief executive Nick Rust revealed that the trio will pay the industry a levy of 7 pence on every £10 bet placed on British horse racing in order to achieve ABP status.
Authorised betting partners will be granted a package of benefits that allow them to fully utilise their relationship with British Racing, Racecourse Association and Horsemen’s Group, in order to promote and grow their businesses.
A full package of benefits is currently being developed with input from betting operators.
No term has been set for the bet365 and 32Red agreements, though Betfair, which was announced as the first to sign up to the ABP programme on Thursday, will fund UK racing until 2019.
Betfair will continue to contribute to the Horserace Betting Levy under its existing five-year funding commitment until April next year, after which the new ABP deal begins.
The future funding model for UK racing remains uncertain, with the Horserace Betting Levy Board (HBLB) failing to agree on a scheme for the 55th Levy, forcing UK Culture, Media and Sport Secretary John Whittingdale to extend last year's levy into next year.
“While the specific details of each arrangement are confidential, the agreements are designed to provide fair and reasonable contributions from remote betting activity in the interim period leading through until the introduction of the Horserace Betting Right,” the BHA explained.