Owners’ fees: how we advocate for you 

Concern from members regarding the fees charged to owners is something we hear about a lot in the ROA office and when out on the racecourse. From the transparency of BHA charges to jockeys’ fees, it is at the forefront of our thoughts as an association, especially with belts being tightened because of more mainstream cost increases.

Here we review the fees you will regularly see on your statements, look at how they are changing, and explain how the ROA Board has been working on your behalf to reduce costs for owners.

  

BHA fees

A review of the BHA fees relating to registering as an owner and the ongoing costs was undertaken by the BHA in direct consultation with the ROA and others to streamline and simplify owners’ charges. The resultant plans are to introduce a new structure as follows:

• Joining: all fees to register as an owner – sole, company, partnership, syndicate or club – have been simplified via the new Racing Digital platform, along with reduced fees including sole owners being free of charge.
• Annual fees: these fees will be charged based on whether you are active or inactive.  Therefore, an annual one-off fee will be charged. This will replace fees such as authority to act, VAT registration and sponsorship registration for active owners. A standard annual fee will be charged for owners that are inactive but want to remain registered with the BHA.
• Additional: a small number of fees will remain outside the annual fees, including registration and re-registration of colours and naming fees, as these are not required by all owners at the point of registering with the BHA.
• Race: the current entry handling fee will be replaced with a split entry/declaration handling charge, with a view to reducing costs for owners at the entry stage when they are less certain of running. It is also envisaged that this approach for owners averaging two entries per run would cost the same as now, and for owners with a higher number of entries per run (i.e. three entries per run), this model will cost them less.

This structure has been crafted to simplify and create transparency in relation to the costs that are part of the BHA regulatory function. It is also intended to encourage owner registrations and with easier understanding of the associated costs from the start of your ownership journey.

The BHA’s new technology platform will be rolled out to implement these new fees. The aspect specific to owners is currently scheduled for release in late summer and we will ensure owners are kept updated on this over the coming weeks.

The BHA released a blog regarding their new fee structure in August 2023, which the ROA shared and can be found at https://www.britishhorseracing.com/serving-racehorse-owners-part-1/

 

Jockeys’ fees

The last increase in jockeys’ riding fees was agreed in February 2024 and followed significant levels of discussion between the ROA and PJA. The ROA Board ratified a below-inflation increase of 3.1%.  

Prior to this, the ROA had negotiated a reduction on the contribution to the Professional Riders Insurance Scheme (PRIS), which is also paid for paid by owners. The scheme was created in 1974 and provides licensed Jockeys, apprentices and conditionals with income benefits in the event of temporary disablement and capital benefits in the event of death or permanent disability.

The scheme is financed by a fixed surcharge on riding fees, payable by owners in accordance with the Rules of Racing. From December 1, 2023, this was reduced to 11% from 13%. The annual saving to owners through this reduction being applied is £305,000.

Owners also support the Career Ending Insurance scheme (CEI). This scheme provides a lump sum benefit to a jockey in the event of a career-ending injury. This is also funded through a levy on each riding fee of £4.50. As a part of these discussions, it was agreed with the Professional Jockeys Association that there would be an increase in the per ride fee for CEI from £3.91 to £4.50 in order to meet the expected shortfall in funding for the CEI scheme. This would see an additional £50,000 cost to owners.
Combining both areas, the net annual savings to owners to date based on the above changes is £255,000 and the ROA Board members will continue to review the costs further over the coming weeks in collaboration with the PJA and BHA. 

 

Industry charities and programmes

It has been agreed that the industry, led by the BHA, will collectively review the distribution of funds relating to industry charities and non-commercial programmes (e.g. horse/human welfare and industry training). These are in part made by owners as part of the entry and declaration fees and are collected centrally and then distributed accordingly.

We appreciate that owners do not have a clear understanding of these costs and how the funds benefit the charities and the sport’s sustainability directly. The ROA therefore welcomes this review and will be working closely within the industry to ensure owners are represented and direct views are sought before any future agreements are made. The review will take place in 2025 to allow for the completion of the Racing Administration system into Racing Digital.

 

Racing account fees

We have highlighted in Owner Breeder the benefits of owners re-evaluating their racing bank account options and how switching to a different account could save money.  

The ROA has produced a table which compares the account options currently available to registered owners. Further details and a comparison table can be found on our Racing Accounts webpage at https://bit.ly/3VUPagf

We are also aware of the growing frustrations felt by owners relating to the account options available and the fees incurred. The ROA will provide a further update over the coming weeks within our Inside Track digital email communication and in next month’s ROA Forum.

Whilst we have been at the forefront of discussions on these topics, there is more work to do on your behalf to lobby for a fair deal for owners. We will ensure that we keep members updated but if you have any feedback or thoughts relating to owners’ costs, please do let us know at [email protected].