Prize-money benefit as RMG rights payments set to bounce back to £110 million

Shareholders in Racecourse Media Group (RMG) are forecast to receive £110 million in payments from media and data rights received for 2021, a small increase on pre-Covid levels.

The umbrella organisation for the 34 tracks which hold an interest in Racing TV said the payments helped contribute to some of its racecourse shareholders being able to return prize-money this year to the levels recorded before the pandemic.

RMG's 34 shareholders include the tracks under the Jockey Club banner, Goodwood, Newbury and York.

Ascot, Chester and Bangor are also part of the group when it comes to content broadcast in betting shops, income from which is one of the main areas that RMG's payments are derived.

Other areas include Racing TV, 'Watch & Bet' streams through bookmakers' digital platforms, the terrestrial television agreement with ITV, international sales and pre-race data.

RMG made payments of £107m in 2019 but the impact of the pandemic on the number of fixtures and betting shop closures resulted in a 25.9 per cent fall in payments for 2020.

The bounce back in 2021, along with increased levy income, has helped racecourses budget for prize-money increases this year.

York: also among the RMG shareholders

The Jockey Club has said a record £58.2m will be on offer across its 15 racecourses this year, an increase of more than £12m on forecast total prize-money for 2021 and nearly £5m more compared to the £53.4m on offer in 2019.

RMG chairman Roger Lewis thanked the board for its support as well as racecourses for their "herculean efforts in 2021".

He added: "The RMG racecourses ensured that horseracing continued for a second year in the most demanding of circumstances, which allowed RMG to deliver as great a return as possible for racing. The RMG model was again tested in 2021 and again proved to be resilient and reliable."

He went on: "The 2021 performance will mean RMG will have delivered £1 billion to racecourses since the start of the business in 2004. This is a testament to our racecourses’ dedication and commitment to working together for the greater good of racing."

Racehorse Owners Association (ROA) chief executive Charlie Liverton described RMG's results as "fantastic", adding the sport's participants would work with racecourses and media rights companies to ensure an equitable distribution of that income to prize-money.

"While the pandemic has had an impact on other racecourse revenues such as attendance and hospitality, these strong media rights results, along with the HBLB performing strongly during the same period, bodes well for the future," Liverton said.

"The ROA and participants look forward to continuing our work with racecourses and their media rights companies, both to help support the growth of racing's income as well as ensure there is an equitable distribution of the income back into prize-money."

RMG added Lewis is due to step down from his role at the end of 2022 and that the search for a new chairman was under way.

He joined the RMG board in 2012 and was appointed chairman in January 2019.

RMG chief executive Martin Stevenson said Lewis had been instrumental in the development and success of the company.

He added: "In particular, Roger has helped steer RMG through the pandemic, and all the huge challenges it presented, to the point where the business is now producing results, which were on a par with pre-covid payments to racecourses. That is a terrific outcome."

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