Extra levy for new betting system

Press, 13 August 1980, Page 22

Extra levy for new betting system

PA Wellington Punters will have to pay for the far-reaching changes in on-course and off-course betting included in the Racing Amendnient Bill introduced to Parliament by the Minister of Internal Affairs (Mr Highet) yesterday. Apart from the $18.4 million to be spent on a new on-course betting system, which will be financed by a half-cent levy in the $l, an extra half-cent will be levied from all betting pools for extra commission for racing clubs, increased stakes subsidy and additional commission for the T.A.B.

This second half-cent deduction would raise another $2.5 million, with $700,000 going directly to clubs in increased commission. $900,000 to the stakes subsidy fund, and $900,000 as increased commission for the T.A.B. When the bill comes into operation, on January 1 deductions will be 18.5 cents on win and place betting, leaving 81.5 c in the $1 for dividends, and 21.18 c on other forms of betting, leaving 78.82 c for dividend. “Racing clubs will thus be materially assisted, either through direct boost of. their own incomes, or through participation of the profits of the T.A.8., in meeting the costs of upgrading totalisator facilities outside the scope of the on-course development account, in undertaking deferred maintenance and in increasing stakes to offset the effects of inflation,” said Mr Highet. He said that the bill had been widelv discussed by the racing and trotting conferences and the Greyhound Racing Association. They had agreed to it proceeding, but the Racing Conference had entered some _ reserv&tions about the bilrs

provision for minimum dividends, Mr Highet said The bill has been referred to a select committee and Mr Highet said that the Racing Conference might make submissions on the minimum dividend provision.

He told Parliament that for many years it had been a source of dissatisfaction that a better could lose money on a dividend-earning bet.

“There is nothing more infuriating than investing $1 on a race and getting back 90 cents,” he commented. The minimum dividend had been taken into account when consideration was given to making extra income available to the racing I industry. ' As it stands at present, tthe Racing Act specifically excludes greyhound racing clubs from being granted full totalisator status. However, the amendment removes this provision and makes it possible for greyhound racing clubs to be classified as totalisator clubs and for the Racing Authority to allocate, from within

limits set by order In cdiincil, totalisator licences that will permit off-course aS well as on-course betting. “This implements a prom-r ise this Government made to the greyhound sport that at the appropriate time, subject to the recommendations of the Racing Authority, the way would be opened to the operation of off-course betting,” Mr Highet said.

The bill’s introduction was supported by the Opposition. The Parliamentary reporter of “The Press,” Philip Worthington, reports that on certain occasions, as yet to be determined, the “moneyback guarantee,” for betting will not apply. These are likely to be those times when a field has fewer than a minimum number of starters (perhaps five), and possibly also division races. These exemptions will be the subject of ministerial direction, after consultation with the Racing Authority, and will be notified in the “Gazette.”

The Greyhound Racing Association will also be represented on the T.A..8