Mr. Mike O'Kane:

-----a closer symbiotic relationship. I would also like to see a greater involvement of the bookmaking industry within how the HRI and the industry are run. We would recommend that because of the financial contribution from the industry that the HRI should consist of more than one bookmaker seat, preferably two seats. At the moment there is one seat for on-course bookmakers. The contribution of on-course bookmakers in media and tax payments is relatively small compared to the Irish retail sector. Within the betting committee, at the moment it is recommended that there are five members but there is no clear indication of how that structure should be put into place other than a reference to on-course, exchange and retail. Clearly, as the retail pays something like 85% of the revenues that go into Irish racing from bookmaking, the betting committee should reflect the contribution of the retail sector.

I have the pleasure to sit on the betting patterns working group in the UK which is there to advise the levy board and the BHA how to maximise the revenue that comes from the racing product. That committee quite clearly wants to protect the pattern and the quality within the UK racing product. The same would apply in Ireland. We believe we can contribute greatly to the fixture discussions because at the end of the day when the fixture programme is sold to the media buyers, whoever they happen to be, the media buyers will look at how that fulfils their need. We have something to contribute both in terms of our experience but also our knowledge of what generates good volumes from a media perspective.

The issue of the HRI controlling the media sales was addressed in our submission. That must be examined again. There needs to be an enlightened view about how media sales are transacted; who owns the rights and to whom they can sell. Bundling of media sales in the way that happens at the moment through the HRI might in the long term work against Irish racing when the media buyers, who are the customers, come forward and decide what they want to buy in 2017 and 2018.

Funding has been mentioned by other contributors but it was not in our submission. I would be happy to let any member of this committee look at my performance from my Irish retail business in Ladbrokes in any year they wish to choose to decide whether they think the 1% or 2% turnover tax will necessarily generate additional revenue. It would appear to, but from a Ladbrokes’ perspective it would decimate our retail sector and would not deliver the revenue people require. This industry in the long term will depend on its ability to sell its rights, pictures and data rather than the tax model. I offer the committee the opportunity to come and look at my numbers for any year it wishes to choose.