John Gosden has warned the UK Government and the Gambling Commission that affordability controls are already causing a mass flight of horse racing punters to unregulated black market operators.
Britain's most successful Flat trainer spoke as the clock ticked Gaming Commission Consultation in proposals that would force licensed betting operators to carry out financial risk checks on customers who lose as little as ยฃ125 in 30 days or ยฃ500 in a year, with more extensive affordability checks for punters with net losses of ยฃ 1,000 in 24 hours. or ยฃ2,000 in 90 days.
His was far from the only voice of concern among those attending Book 2 of the Tattersalls Yearling Sales in Newmarket, with retired Derby-winning trainer and successful breeder Luca Cumani also describing the current proposals as "a disaster for racing." ".
Gosden first raised concerns to the Racing Post about the potential impact affordability checks could have last year, while two weeks earlier the government presented the white paper in April warned that his imminent arrival could be "a bullet between the eyes" for British racing.
He does not feel calm since he saw the proposals that are currently being consulted. In particular, Gosden said the government and the Gambling Commission had failed to distinguish between racing betting and games of chance such as roulette and online slots.
"The commission does not understand the relationship between horse racing and gambling," Gosden said. "The area they need to target is the online casino and gaming market, which is on everyone's phone and in their pocket.
"This is where the worst addictions develop. In contrast, gambling on horse racing requires in-depth research, a high degree of knowledge and understanding of a number of factors, including the form, the race, the draw , the distance, the pedigrees, the rider and the trainer. It is not a casual "shoot from the hip" bet.
Betting operators have already been forced to expand their social responsibility and anti-money laundering policies to include affordability checks at various levels under the threat of heavy penalties from the Gambling Commission, a situation Gosden believes will has left the door open to black market sites that offer no protection to their customers and do not bring money to the government through taxes or competing with tax and media rights.
"As I warned, the inevitable consequences of the way the commission is acting is to send players onto the unregulated black market," Gosden said. "What started as a small trickle has already become a torrent."
Luca and Sara Cumani at Tattersalls Sales in Newmarket on MondayCredit: Alisha Meeder
Cumani retired from training in 2018 to focus on the breeding operation he runs with his wife Sara at Fittocks Stud in Newmarket.
He fears that uncertainty around potential economic damage to the racing industry is already making ownership less attractive.
"There is a lack of clarity from both the commission and the government, which is bad for any business," Cumani said. "If the proposals that have been issued were to become known, it would be a disaster for racing.
"It would discourage people from keeping horses in training, which would be very bad for the racing and breeding industry, and would have a knock-on effect on employment and rural affairs. All everyone in racing wants is clarity on these issues by the government and the Gaming Commission."
The Department for Culture, Media and Sport presented an impact analysis of the economic cost of racing when it published the white paper in April. That report claimed that in the first year after the reforms were passed, the loss of racing revenue (reductions in tax and media rights caused by the negative impact of affordability controls) would be between ยฃ8 .6 and ยฃ14.9 million.
But a Racing Post investigation published last week suggested the damage to racing's finances could be up to three times that amountThe initial impact assessment did not take into account the increased reliance on the careers of high rollers who will be disproportionately affected by the controls and based its forecast for media rights on an outdated understanding of how payments are structured.
York chief executive William Derby described last week that the proposals exercise "great pressure" on racecourse budgets, while Adam Waterworth, his counterpart at Goodwood, said at the weekend that there had been I have never been more worried about the future of the sport. for 30 years of work in racing.
To complete the Gambling Commission's consultation on affordability checks, visit racingpost.com/consultation and follow the instructions.
The Racing Post also wants to hear from you: what has been your experience with affordability checks since the white paper was published at the end of April and what do you think of the government's proposals? Have affordability controls affected your betting behavior?
It is an opportunity for your voice to be heard. Email the Racing Post at editor@racingpost.com with the subject 'Affordability checks' to share your experiences, your views on the government's proposals and your contact details.
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