British Racing And Betfair Sign ₤ 40m Commercial Deal British Racing and Betfair indication ₤ 40m commercial offer 4 July 2012 Online wagering exchange Betfair has signed a handle British horse racing organisers, assuring a minimum ₤ 40m of financing over the next 5 years. It will give 10.75% of all incomes on the sport drawn from its UK consumers. It comes after conferences with market bodies the British Horseracing Authority, the Racecourse Association and Horsemen's Group. In return, the sport has promised a minimum variety of components per year and to increase betting opportunities. The agreement will replace Betfair's present yearly voluntary Horserace Betting Levy payments. Most major betting firms, consisting of Betfair, now run their online operations outside the UK and are accountable to pay tax and horserace levy just on company done within the country - rather than on their total global operations. However, till now Betfair has actually willingly paid the UK horse racing levy as though it were still British-based. The brand-new contract will replace this previous ad-hoc arrangement and will work from the 51st Levy Scheme, which covers the 2012-13 racing season. "We are pleased that we have been able to reach an agreement with Betfair, one which represents a landmark for both the racing and wagering industries," said Paul Bittar, president of the BHA. "It brings lots of advantages, including significant and increased guaranteed funding, as well as significantly providing certainty for the sport in relation to Betfair's contribution." The Horserace Betting Levy, a significant source of funding to the sport, has actually been slowly diminishing for many years with the moves offshore by betting companies. And Mr Bittar stated he hoped similar arrangements to the Betfair one could now be concluded with other wagering operators.