Oireachtas Joint and Select Committees

Tuesday, 19 November 2019

Joint Oireachtas Committee on Agriculture, Food and the Marine

Operational Matters and Corporate Plans of Horse Racing Ireland: Discussion

Photo of Anthony LawlorAnthony Lawlor (Fine Gael) | Oireachtas source

I thank the witnesses for their attendance. I listened to their opening remarks on my iPhone. I welcome that Mr. Hartery highlighted that the Irish Equine Centre in Johnstown is HRI's first priority. Having been there with Mr. Kavanagh on several occasions as well as with the Minister, I know that it needs considerable investment. We hope that will happen. It is operating on a shoestring. Its facilities are quite deplorable and it is difficult for the staff to carry on their excellent work. It has broadened its revenue streams to include areas other than equine activities. I am delighted that it is a priority for the HRI.

I refer to the redevelopment of the Curragh racecourse and the associated problems. The State probably owns two thirds of the Curragh through HRI and the Turf Club. There has been a remarkable improvement in linkage locally since the appointment of Mr. Pat Keogh as CEO. Trainers are seeking extra meetings at the racecourse. It is a fine facility that should be used more often. On the possibility of having a second track, has consideration been given to a private venture? An offer has been made in respect of a track not far from where I live.

Has consideration been given to the American model, which involves racing in blocks such that horses can be stabled on site? Many of the horses which run on the all-weather track in Dundalk do so regularly.

In the past year, there has been much debate in respect of funding of the horse racing and greyhound racing industries. Would it be of benefit to horse racing for its funding to be separated from that of greyhound racing? Would that be of assistance to HRI in terms of addressing certain negative messaging?

Several trainers in Ireland and the United Kingdom have left the business in the past 12 month. Mr. Kavanagh referred in his opening statement to difficulties in particular areas. If Joseph O'Brien of Kilkenny, Willie Mullins of Carlow, Noel Meade and Gordon Elliot of Meath or Coolmore of Tipperary pulled out, it would leave a significant hole in the local area. Are we becoming too dependent on large operations such that small trainers do not have much of a chance?

I met Mr. Brian Cusack who is looking after the Tote and coming forward with several ideas in that regard. Reference was made to the betting tax, which does not apply to the Tote. Bookmakers pay the tax of 2% but there is nothing coming from the Tote. Should it also pay the 2% tax?

Mr. Kavanagh referred in his opening statement to the betting tax on racing. Most of the money recouped by the betting tax could be asserted to come from matters other than horse racing. What percentage of the moneys accrued comes from racing? It comes from greyhound racing, football matches and so on. Do the witnesses have a breakdown in that regard?

There are staffing problems in the hospitality and other sectors. Is staffing a problem in the equine industry? Is there regular engagement between HRI, the Minister for Agriculture, Food and the Marine, Deputy Creed, and the Minister for Business, Enterprise and Innovation, Deputy Humphreys, on easing the visa situation for staff coming into the country?

I have not seen figures in respect of staffing within HRI, such as its staffing complement or the increase in staffing in recent years. In 2016, 8,561 horses were in training. In 2018, there were 8,688, which is a minor increase. Almost half that number of horses were in training each day over the relevant period. Has the staffing level of HRI increased in the past three or four years? Why does its staffing level need to increase? For example, there were 1,000 more runners in 2017 than in 2016, but only 40 more runners in 2018 than in 2017. What is the basis of the staffing strategy of HRI?

Overall, the HRI needs to send a message. The industry is worth €1.8 billion. Foal sales such as those currently under way at Goffs generate significant income. I must give credit to Goffs and Tattersalls. Mr. Kavanagh was at a sale last weekend in Cheltenham. It is fantastic that Irish horses are being sold on the UK market. What Goffs and Tattersalls are doing for the industry is significant. Sheikh Mohammed flew into Dublin Airport by private jet and spent a significant amount of money at Goffs. Big money is also being spent at Tattersalls. The top end of the market in the industry is healthy, but at the lower end it is very difficult for smaller breeders and so on.

As the witnesses are probably aware, I am a big supporter of horse racing. A model is needed that will entice a person going to a race meeting with €50 in his or her pocket to spend that money while also encouraging him or her to attend another meeting. Those charged too much at the gate are not inclined to return. The Lawlor's of Naas novice hurdle is the only grade 1 race at Naas racecourse. Lawlor's Hotel gives out so many free tickets to the meeting that there is a large crowd at it. People have a great time and spend €50 on bets, drink or food. I agree with Michael O'Leary that customers should not be given something for nothing. It would encourage more people to come racing if they were charged a minimal amount for entry, such as $2 as is the case in parts of the United States or €5 with a race card or similar.

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