Rachel Reeves' feared tax hike sparks bookies' fury with British racing facing major first

The prospect of increased taxes paid by bookies on racing profits from 15% to 21% has reportedly sparked a strike which could cost the industry around £700,000. The British Horseracing Authority (BHA) have organised the walk-out, in opposition to the move which would bring bookmakers in line with online casinos. Industry representatives claim that the tweak would cost the sector £66million per year, and cause 2,752 people to lose their jobs. They add that the levy increase would send the sport into "irreversible decline".

The chief executive of the BHA, Brant Dunshea, said: "This latest tax bombshell from the Government, if followed through, poses one of the gravest risks to horseracing the sport has ever seen. The horseracing industry is already in a precarious financial position, and the latest research provides a much more catastrophic forecast than we first thought. We're talking thousands of jobs at risk across the supply chain, severely impacted towns and communities, and the irreversible decline of the country's second most popular sport."

The Times reports that the proposed industrial action is due to take place only one day before the start of the St Leger Festival in Doncaster, which is set to take place between September 11 and 14.

Keir Starmer attended the event with his wife, Lady Victoria, last year.

Four events that were scheduled to go ahead on September 10 at Carlisle, Uttoxeter in Staffordshire, and Kempton and Lingfield Park in Surrey are "to be scrapped".

Jim Mullen, the chief executive of the Jockey Club, which owns the Kempton and Carlisle racecourses, said the tax rise would cause "irreparable damage that threatens a sport the nation is, and should be, proud of".

"Our sport has come together today, and by cancelling racing fixtures, we hope the government will take a moment to reflect on the harm this tax will cause to a sport in which our country leads in so many ways," he told the news outlet.

The Treasury argued in a consultation paper in April that a single duty would "provide tax certainty and increase simplification for remote gambling".

Brant Dunshea, chief executive of the BHA, said the body had not taken the decision lightly but are urging the Government to "rethink" its plan in order to "protect the future of our sport which is a cherished part of Britain's heritage and culture".

He added: "Our message to government is clear: axe the racing tax and back British racing."