ROA Annual Report 2018-19

Annual Report 2018-19

MISSION STATEMENT

The Racehorse Owners Association exists to promote and protect the interests of racehorse owners.

The ROA works with other stakeholders in British horseracing to bring about a marked improvement in the overall finances of the sport, to the benefit of owners on every level and to improve conditions for the industry’s workforce.

The ROA works to retain existing owners by ensuring its members get the most from their ownership experience and assists in recruiting new owners through stimulating interest among racing’s general fan-base.

2

Strategic Objectives 2019/20

ROA Annual Report 2018-19

Strategic Objectives 2019/20 2 To work with racing’s other stakeholders, the government and betting industry to create a sustainable financial basis for British racing, with a focus on the operation of pool betting, resulting in increased returns to racing.

1 To work with racecourses and the BHA to ensure the funding of the sport is improved through both the 2020 Fixtures and Funding Review and 2019 Prize-Money Agreements, with an emphasis on prize-money, particularly at grassroots level.

3 To work collaboratively with racing’s stakeholders, the government and betting industry to ensure the Horserace Betting Levy Board delivers against its agreed aims and objectives.

4 To deliver and lead the Industry Ownership Quality Mark, supported by the ROA Gold Standard Award, focusing on working with racecourses to provide continuing enhancements and improvements to owners’ racecourse experience.

Strategic Objectives 2019/20

ROA Annual Report 2018-19

5 To lead the Ownership Strategy for British Racing, building on the initiatives developed to date to support and promote ownership involvement of all types, while working across the industry to implement them.

3

6 To continue to improve benefits by further developing the programme of events for all ROA members, both raceday and non-raceday, while expanding the packages and opportunities offered to members and increasing the spread of participating racecourses and venues.

7 To ensure the ROA plays a key role in the new independent Horse Welfare Board, in setting and implementing an industry-wide welfare strategy to which everyone involved in British racing adheres.

8 To continue to ensure the ROA takes a key role in improving welfare standards for both current and ex-racehorses through the ROA’s Gold Standard initiative, the industry-wide ‘The Horse Comes First’ campaign and the Retraining of Racehorses charity (RoR).

9 As one of the key stakeholders within the racing industry, to work to secure a regulatory regime that is proportionate, fair and brand-enhancing for British racing.

4

Strategic Objectives 2018/19

ROA Annual Report 2018-19

Strategic Objectives 2018/19 1

Record prize-money 2018

£166m

To work with racecourses and the BHA to ensure that the funding of the sport, with an emphasis on prize-money particularly at grassroots level, is improved through both the 2019 Fixtures and Funding review and 2018 Prize-Money Agreements.

Record prize-money levels of £166m were achieved. Grassroots racing benefited significantly from the development of the Appearance Money Scheme, which achieved 100% take-up by racecourses to ensure the full benefits of the initiative were enjoyed by owners.

To focus on the minimum standards offered by racecourses for owners, both with and without a runner, and promoting the ROA Gold Standard Award.

2 3

Measurement and achievement against objectives

The focus has shifted towards the promotion and celebration of excellence beyond the delivery of minimum standards. We are working together with racecourses to deliver constantly evolving enhancements to the ownership experience on racecourses through the development of the Industry Ownership Quality Mark.

This runs in parallel to the ROA Gold Standard Award.

Ownership Strategy Project Racecourses Trainers Syndicate managers

Implement the Ownership Strategy for British Racing, working together with the Horsemen’s Group, BHA and racecourses to achieve the goals and objectives.

The ROA continues to lead and develop the implementation of the Industry Ownership Project funded by the Levy Board. Key cross-industry collaboration and communication is delivering the goals and objectives of this significant work.

4

To implement and deliver a new database and website for the ROA in order to better communicate and engage with our members and wider industry stakeholders.

5

Work collaboratively with racing’s stakeholders, the government and betting industry to ensure that the Racing Authority delivers against its agreed aims and objectives.

The new database has been implemented and introduced as a significant IT project for the ROA. It is facilitating more effective communication and delivery of an improved service for members. The new website will be operational by July 2019.

We continue to work closely with the Horserace Betting Levy Board on key strategic objectives, as the legislation required to enact the Racing Authority did not receive the required parliamentary support. Close relationships with parliament continue to be maintained and further developed to ensure that racing and its contribution to the economy and the wider society continues to be recognised.

ROA Annual Report 2018-19

Strategic Objectives 2018/19

5

6

To continue the development of increased benefits to ROA membership.

7

The programme of events for members, both raceday and non-raceday, to be built-upon increasing the spread of racecourses and venues as well as the packages and opportunities available.

8

To work with racing’s stakeholders, Government and the betting industry to create a sustainable financial basis for British Racing, with a focus on the operation of pool betting, resulting in increased returns to racing.

9

To ensure the ROA plays a key role in increasing welfare standards for everyone involved in British racing.

The scope of benefits available to ROA members continues to be expanded in line with member feedback which is pro-actively sought through surveys and meetings.

We develop the calendar of events in response to ROA member demand. The introduction of Industry Ownership Racedays in 2019 is providing an excellent range of racecourse experience, across regions and racing code.

The ROA continues to focus on collaboration to ensure the sustainability of the industry’s finances, including working together with BritBet and Alizeti to support the pool betting operation that will benefit the whole racing industry.

The ROA works closely with key welfare organisations within the Industry.

A strategic and supportive partnership with Racing Welfare underlines the role of owners and our members within the lives of those involved in all aspects of the care of our horses.

10

To continue to ensure the ROA takes a key role in improving welfare standards for both current and ex-racehorses through the ROA’s Gold Standard initiative, the industry-wide ‘The Horse Comes First’ campaign and the Retraining of Racehorses charity (RoR).

11

As one of the key stakeholders within British Racing, work to secure a regulatory regime that is proportionate, fair and brand-enhancing for racing

The ROA is instrumental in the ongoing development and promotion of welfare standards throughout the sport. This representation includes a seat on the newly formed Horse Welfare Board. Equine welfare forms part of the assessment processes for both the Industry Ownership Quality Mark and the ROA Gold Standard.

The role of the ROA as a key stakeholder within British Racing has been further enhanced via our seat on the BHA Board. This, together with the ROA presence on other key Industry committees and bodies, ensures that we have a vital voice and influence in the regulation of the sport.

6

ROA Annual Report 2018-19

President’s statement

President’s statement Nicholas Cooper

120m 105.6m

Unfortunately, our initial elation was short-lived when figures for the past year (2018-19) showed levy yield to have declined by £17m. The reason for this is clear as it was revealed that bookmakers’ profits were substantially down in the final quarter of the financial year, underlining the fact that levy income will always be prone to such fluctuations for as long as it is based on betting operators’ gross margins rather than turnover.

To my mind, there has always been something slightly odd about tying racing’s central funding to a percentage of bookmakers’ profits.

It means the more punters lose, the more racing receives and vice versa. It also means that when bookmakers decide to use racing as a lost-leader to attract new online clients, as they frequently do, racing loses out.

The squeeze on betting margins, furthermore, is likely to continue as more punters gravitate towards online betting where competition for low margin-high turnover business among online operators is increasingly intense.

To base racing’s income from the Levy on the volume of money bet rather than profit margins has an attractive purity about it. The world has changed fundamentally since, in 2001, there was a collective decision between the betting industry, government and racing to adopt a gross profits model and now there is an argument to say it will continue to count against racing.

99.3m 99.2m 75.4m 80m

90.6m 67.71m

60m

40m

70.1m

66.7m 59.53m

04 -0 5 05 -0 6 06 -0 7 07 -0 8 08 -0 9 09 -10

It was sensible that racing took this decision on the chin, secure in the knowledge, so we thought, that the real benefit to our industry had come earlier when the government widened the scope of the levy to include those UK bets that were processed by off-shore bookmakers.

It was a move that in the first year of operation saw the levy increase by approximately £45m.

94.7m

100m

This time last year I was premature in anticipating the distribution function of the Levy Board would soon be taken on by a new Racing Authority.

What transpired was the coming together of a group of cross-party MPs and peers who decided there was no need to replace an organisation they believed had served racing well over many years with a new body that might not be fully accountable. The Levy Board would remain and that was that.

115.3

78m 54.5m

60.1m 49.8m

10 -11 1112 12 -13 13 -14 14 -15 15 -16 16 -17 17 -18 18 -19

Levy Board remains, but a question mark hangs over the gross profits model

Levy yield over the last 15 years

I accept that a complete change back to a turnover system would probably be deemed as a step too far, especially when you see the extent to which betting exchanges have now become a part of the racing and betting infrastructure. Discussion should, nevertheless, now commence on how a so-called hybrid system, involving both margin and turnover, could be made to work.

Of course, this could only come about with the support of government and here we have to recall the words of the then Minister for Culture Matt Hancock when he suggested that if the change in FOBTs legislation was seen to be having a severely detrimental effect on racing’s income, the government might be persuaded to look again at the levy system.

It is too early to see the extent to which betting shop closures will impact on media rights payments to racecourses, but this latest news on the levy yield has delivered another blow for prize-money levels with all its implications for the whole racing industry.

It is also a further reminder to us that keeping political parties on-side remains a crucial part of industry strategy. As social attitudes change and politicians react to those changes, so racing must continue to adopt a stance of quiet diplomacy in its dealings with successive governments.

ROA Annual Report 2018-19

President’s statement

7

Horse welfare is becoming increasing important to the racing industry.

Why animal welfare must be recognised Operating with political savvy will be important when we eventually get an outcome to the interminable Brexit conundrum, with its crucial implications for free-movement of horses and staff. But even more so, in the longer term, as we experience the public’s hardening attitude towards animal welfare.

Of course, it is right that the BHA, as racing’s governing authority, wants to do everything in its power to protect the sport’s image, but equally clear why horsemen are often exasperated by decisions they believe are made to pander to the politically correct, most of whom, they argue, have no real understanding of the horse as an animal.

It is a problem that is not easily solved. The governing authority has to remain sensitive to changes in society and public attitudes if our sport is to survive at the level on which it now operates, but at the same time it has to find the means of keeping the horsemen onside.

At least a start has been made in recognising this dilemma with the setting up of a cross-racing Horse Welfare Board to develop an industry-wide strategy, with an Independent Chair and ROA representation.

Social and political considerations also have strong links to the treatment of racing’s workforce. A recent important study on the mental health of jockeys, trainers and stable staff reveals there are some previously unacknowledged consequences to emanate from our burgeoning fixture list.

We knew, of course, the current number of fixtures in the summer months creates long working hours, but what we did not fully appreciate was the effect this is having on the mental health of those who work in the industry.

Now, with the prospect of a further squeeze being put on funding and prize-money, we must ask ourselves whether the current number of fixtures can be properly serviced without an even bigger toll being taken on our workforce.

Part of the ITV Racing team: Ed Chamberlin, Francesca Cumani, Brough Scott, Tony McCoy and Mick Fitzgerald.

ITV Racing is worth its weight in gold The protection of the young and vulnerable is certainly a recurring theme in political thinking these days and it can only increase, especially if we end up with a left-wing government. We have seen it with the FOBTs legislation and there is continuing pressure being exerted on the betting industry to safeguard people from allowing their betting habits to have an abject effect on their lives and livelihoods.

While in recent months we have seen pressure being put on bookmakers to curtail their TV advertising during general sports coverage, racing has escaped this restriction, partly because it is perceived that our sport is not generally watched by the young and partly because, I like to think, that betting on horseracing is seen as socially more acceptable. A flutter on the horses, after all, has always been regarded as a bit of harmless fun.

It is important this perception of betting on racing continues because one of our success stories within the last two years has been ITV’s superb racing coverage. The direct monetary contribution to racing from national television may not be great, but regular, outstanding terrestrial TV coverage is worth its weight in gold, both as a marketing tool and a spur to betting on the sport. And, lest we forget, betting continues to provide the economic platform on which racing depends.

Had racing been scooped up in the restriction on betting-related TV advertising, the sport’s public exposure would surely have been dealt a severe blow. Such a move would have resulted in a huge dent in advertising and sponsorship revenues, with the result that racing would no longer be the supremely attractive commercial proposition for television companies that it now is.

8

President’s statement

Royal Ascot ‘World Pool’ gives new British Tote a great springboard The UK Tote has often been referred to as British racing’s ‘sleeping giant’ and, over the next few years, we are likely to see whether or not this title can ever be justified.

Certainly, since last year’s Annual Report, there have been significant developments regarding pool betting in the UK. It is now confirmed that the Together for the Tote team, led by racehorse owners Alex Frost and Eamonn Wilmott, will complete their plans for ownership of the 90-year old institution by the end of 2019.

The development of pool betting takes a massive and exciting stride forward at Royal Ascot this year where a World Pool, over three years in the making, is launched to a worldwide audience, just after this Annual Report goes to press.

World Pool will see the majority of the host markets at Ascot (other than fields of more than 24 runners) opened to a worldwide pool audience with huge liquidity shared by the Ascot host market and many other countries. This tri-party partnership between Ascot’s “Bet With Ascot” operation, Totepool and the Hong Kong Jockey Club will use Totepool’s extensive international pool betting network and will provide significant liquidity and robustness in tote pools.

World Pool represents the first time the Tote and Hong Kong Jockey Club have comingled their pools for Royal Ascot, allowing the royal meeting’s domestic and international audience access to a global pool. Live pictures of Royal Ascot races will be shown in Hong Kong, helping to stimulate what will be a massive local betting audience.

Uniquely for a betting venture in Hong Kong, there will be no racing in Hong Kong on the day so the audience will be solely focussed on the broadcast from Royal Ascot.

Coverage of Royal Ascot in Hong Kong increased from three to four days in 2018 and now, with World Pool set to operate, this extends to the whole week. Other countries are also now expressing interest in comingling into World Pool, including the USA, Canada and Australia.

While the comingling will principally relate to win and place betting, punters may also have access to other exotic bets this year and certainly in the future.

Another dimension to this thrilling plan is to build on the already significant American audience. For the second year, every day at Royal Ascot will be shown on NBCSN whilst the whole of Saturday’s Royal Ascot card will be on the main NBC channel, giving US punters the ability to bet on the events for which the World Pool will operate, subject to local legislation.

ROA Annual Report 2018-19

Eamonn Wilmott and Alex Frost lead the new, innovative off-course Tote operation.

World Pool will be a truly innovative pool betting event and the first to highlight the potential of racing jurisdictions working together to showcase the best racing alongside exciting new betting opportunities for an international audience.

In other Tote developments, it has been very positive to see cooperation between Britbet and Together for the Tote developing into a strong partnership. Britbet is owned by 55 British racecourses and now manages Tote operations on course, while Together for the Tote is the consortium backed by a group of investors made up of racehorse owners and breeders. Alizeti Group, the team behind Together for the Tote, is completing acquisition of the Tote from Betfred before the end of the year.

The partnership between Britbet and the Tote bodes well for the future. It is a huge credit to all involved that an agreement was reached to build on, rather than split, the all-important liquidity of British racing’s relatively small pool betting market. Crucially, it means that all pool bets made are now being put into the same Tote pool.

This ensures that as far as the betting public is concerned, they are simply betting with the Tote, whether that is on or off the racecourse.

Off-course business through Tote Direct, the service that makes pool betting available through high street bookmakers, is expected to grow significantly from next year. For the modest punter, the bigger the pools, the better the prospect of big wins for small stakes. For those wishing to place bigger bets, larger pools remove the maximum stake barrier, something for which bookmakers are so often criticised.

With digital technology knowing no bounds, we can also look forward to exciting product developments, such as a Tote App providing easy online access to popular bets such as the Placepot.

At a time when future prize-money levels look likely to come under strain, the ambition for a revitalised Tote is a most welcome development and one which, in time, could provide a significant source of additional funding for British racing.

President’s statement

ROA Annual Report 2018-19

9

Farewell to Alan Pickering and Patricia Pugh

It is with considerable sadness that the ROA Board will be bidding farewell to two of its most devoted and cherished members at this year’s AGM. Alan Pickering, who has served as vice-president for the past four years, having been voted onto the Board in 2011, has decided to step down after this long stint, while Patricia Pugh took the decision not to continue after her three-year term.

Both members have been extremely valuable in making their respective contributions in furthering the cause of the ROA and racing in general, for which we and the whole industry must give our heartfelt thanks.

Putting racing to one side for a moment, nobody who knows Alan Pickering could deny that he is a remarkable man. Blind since his early twenties, Alan built a reputation in the pensions business to the point where he became something of a legend.

It is not important whether his remarkable intellect and eloquence, his sense of fair play and balance, has been heightened by his disability over the years. It is enough to say that we and many others whose lives he has touched have been huge beneficiaries. So too has racing in general where this immensely popular man has enjoyed owning many good horses and has felt the thrill of ownership through the mood and sounds that the sport engenders.

No doubt Alan, like the rest of us, has felt the excitement of a race-day at which that extraordinary chaser Altior makes yet another winning appearance, but few of us will ever have a racing experience to match that of the horse’s owner, Patricia Pugh.

The ROA Board may have at times basked in the reflected glory as Patricia’s champion racehorse wins race after race, but it would be wrong to imagine this is the full extent of this owner’s contribution to our association.

For this modest woman has brought us the benefit of much of her experience as the curator of some of the highest profile museums and galleries in the land, to say nothing of her background as a lawyer. It is this knowledge that has frequently shone through on some of the ROA committees, in particular where matters involving membership and staff are concerned.

While I’m sure Patricia’s natural charm will continue to be evident on the racecourse for some time yet, I also hope that her unique set of skills will not be lost to this sport for long.

10

ROA Annual Report 2018-19

Chief Executive’s Report

Chief Executive’s Report Charlie Liverton

It has been another important year for the ROA, with progress having been made in a number of areas in line with our members’ growing requirements and expectations.

The most significant event for the ROA team has been the introduction of a new database which will allow us to enhance the membership experience. While any IT project takes time to bed in, I hope, over the coming months, members will see some of the resulting improvements to our service.

The owner’s voice is increasingly being heard throughout the various industry meetings and consultations and this is confirmed by the feedback we receive from members.

An important development during the year has been the allocation to the ROA of a stakeholder representative seat on the BHA Board. This will give owners and horsemen a voice on key BHA decisions.

Whatever our progress over the past year, there is always more to do and, together with the ROA Board, we continue to work closely with our industry stakeholder partners to ensure that owners’ wishes are heard and acted upon.

The prize-money landscape Total prize-money in 2018 was £166.1m, an increase of £23.6m on 2017. This significant rise in returns to horsemen was at all levels and included the much-lauded Appearance Money Scheme, which began at the beginning of 2018.

The improved picture came as a direct result of the media rights deals that the Racecourse Media Group and The Racing Partnership, acting on behalf of Jockey Club Racecourses, ARC and individual racecourses, negotiated with the bookmakers. This saw an increase in racecourse executive contributions to prize-money, for which our thanks must go to the racecourses and their media rights companies.

(See page 27) Although we must always strive for improvement, it is a fact that the current uncertainty surrounding the industry suggests owners should expect a reduction in total prize-money over the next three years.

Plucky Dip (right) wins at Leicester last year. Appearance money was paid down to eighth, so owners of all horses in the picture received a minimum of £300 towards expenses.

It is this uncertainty that underlines the need for the whole racing industry to work together towards the creation of a transparent financial model. This will enable us to understand better each other’s requirements and to talk with one voice to those who invest in British racing. It is therefore most encouraging that a commercial plan, with input from racecourses and their media rights partners, as well as the BHA and Horsemen, is now being drawn up.

The Appearance Money Scheme, ensuring owners of horses running down to eighth place receive up to £350 on the Flat, and £450 over Jumps in Classes 3-5 (Jumps) and Classes 4-6 (Flat), has seen an increase in returns to those whose horses race at that level.

It is reassuring to see the scheme has helped with the retention of horses in training, judging from positive comments in members’ correspondence.

However, the fixture list remains a crucial part of the jigsaw. With the number of suitable race opportunities still not meeting expectations in too many instances, this is something that we have to continue to work on with the racecourses and the BHA. While nearly 40% of races attract less than eight runners and the retention of racing staff is at a critical point, the need to have a race programme that fits the horse population, as well as being attractive to the race-going and betting public, is particularly important.

Chief Executive’s Report

ROA Annual Report 2018-19

11

ROA members at December of each year

In last year’s annual report, I spoke of the momentum around the creation of the Racing Authority as we prepared for it to replace the Levy Board in the spring of this year.

7424

7734

8082

8056

Horserace Betting Levy Board

7213

Each year membership enjoy the impressive marquee at the Cheltenham Festival.

The ROA has built on this hugely popular facility, putting on similar events at other major meetings.

2014

2015

2016

2017

2018

ROA Membership

In late autumn of last year, however, with the finishing line in sight, Parliament did not support the Legislative Reform Order the Government had introduced in order to facilitate the implementation of the Racing Authority. It was halted by objections on procedural reasons from a cross-party committee of both MP’s and peers. As a result, government said it was to withdraw the LRO and took the decision not to pursue primary legislation to make the changes.

Membership numbers have remained over 8,000 throughout the year and we have been delighted with the increase in membership engagement. In fact, response levels from you during the past year have been fantastic. It is only through understanding those issues that concern members most that we can act effectively and efficiently on your behalf.

The Levy Board, therefore, remains and we continue to work closely with them. While it is true the levy yield went from an impressive £95m in 2017-18 down to a disappointing £78m in 2018-19, the Board continues to play a large and important part in racing’s finances, especially now racing receives its rightful returns thanks to government help in ensuring bets taken by overseas operators on British racing are now within the scope of the levy.

We have continued to see a good representation of our members at race meetings throughout the year, including our regional meetings, which continue to be very popular. These opportunities clearly resonate with you and so we will be looking to enhance our representation on the racecourse. Topics that are raised at the regional meetings are diverse and wide-ranging, showing just how active and engaged our members are with the industry, both on and off the racecourse.

Cross-party support for British racing has been very encouraging in recent years. Political engagement must continue, not just with regard to racing’s finances.

The increasing realisation of racing’s importance to the rural economy throughout the UK, plus the international investment the industry attracts, has moved us up the political agenda. But with this has come an increasing focus on the welfare of both staff and horses. It is a point the ROA increasingly appreciates as we now sit on racing’s Public Affairs Group, this being the committee that agrees and implements industry strategy on Westminster engagement.

The facilities at Cheltenham and Aintree this year were once again hugely popular, and we will be looking to build on these. Access to hospitality with fellow owners at these big meetings continues to be sought-after and we will look to expand our offering to you, while working with the racecourses.

At the same time, we continue to build our international relationships with the AIRO (Association of Irish Racecourse Owners), and France Galop through the provision of access to facilities at the Punchestown Festival and the Deauville Festival.

12

ROA Annual Report 2018-19

Chief Executive’s Report

Registered Owners with horses in training

Industry Ownership Strategy

7931

7892

7947

8062

8364

The Industry Ownership Strategy is dealt with in greater detail within this report, but, suffice to say, I am delighted with the progress it has made over the past 12 months. It is a critical piece of work for the whole industry and will have an impact on both the retention of owners and increased investment through the sales ring and on the racecourse.

2014

2015

2016

2017

2018

My thanks go to Portas Consulting for all of their expertise in helping to manage the project, Pip Kirkby and Chloe Martin who have led the project for the ROA, and the membership team for their continued support and guidance.

My thanks must also go to all those members who have given up their time to provide much-needed feedback through either the completion of surveys, or attendance at focus groups. The industry-wide support has also been hugely appreciated as none of this vital work can progress without cross- stakeholder engagement.

This ambitious project can make a difference to all stakeholders and the industry overall. With performance metrics and objectives in place, I hope we see improvements in key areas over the coming months.

Exciting year ahead for the ROA The coming 12 months will see the ROA active on many fronts, but specifically our focus will be on: The delivery of the Industry Ownership Strategy, which, as I have said, will be critical now we are nearing implementation stage.

The funding of the industry which is, as ever, fundamental to all owners and to everyone who works within racing.

Prize-money distribution and prize-money agreements.

The welfare of horses and staff.

Racing’s relationship with government.

The size and composition of the fixture list.

The ROA ensures members are looked after both on and off the racecourse.

The membership team at the ROA will continue to ensure members are looked after both on and off the racecourse. They will work with you to ensure, as much as possible, your needs and aspirations are met.

The team at the ROA deserve much credit for the way in which they have managed to surpass expectations throughout the year, while also overseeing the introduction of a new database and helping with the Industry Ownership Strategy. My thanks go to them for their help and support.

Members of the ROA Board have also worked hard on your behalf and I thank them for their encouragement and guidance over the past year. With their support, we have been able to meet our objectives, as well as improve many areas of the ROA, and I look forward to continuing to working with them over the coming year.

The racing industry in numbers

ROA Annual Report 2018-19

The racing industry in numbers 2018 Prize-money Pyramid

13

This pyramid is based on the number of individual horses who ran in the UK in 2018 and the percentage of those horses who won prize-money at varying levels. As shown, 19.24% (3,704) of the horses that ran won no prize-money at all; 80.76% won £1 or more and 47.71% won £2,500 or more.

The same principle continues, until, at the top of the scale, 0.9% of horses won £100,000 or more.

3,704 19.24%

£0

6,363 80.76%

£1 +

4,102 47.71%

£2,500 +

2,727 26.4%

£7,500 +

1,395 12.24%

£15,000 +

481 4.99%

£30,000 +

306 2.49% No. of Horses %

£50,000 +

174 0.9%

Individual runners

£100,000 +

Prize-money won

Scheduled fixtures

2014

2015

2016

2017

2018

2014

2015

2016

2017

2018

Flat

9,580

9,726

9,996

10,376

10,629

Flat (AWT)

296

307

317

326

341

Jump

7,393

7,542

7,550

7,593

7,661

Flat Turf

584

575

572

571

570

Dual

1,104

1,047

994

978

959

Jump

584

589

594

600

597

All

18,077

18,315

18,540

18,947

19,249

All

1,464

1,471

1,483

1,497

1,508

Average number of runs per horse

Races with 8 (or more) runners

2014

2015

2016

2017

2018

2014 (%)

2015 (%)

2016 (%)

2017 (%)

2018 (%)

Flat

5.88

5.8

5.75

5.69

5.71

Flat (AWT)

65

66.6

70.6

74.5

73.5

Jump

4.22

4.19

4.23

4.21

4.22

Flat Turf

63.3

65.5

66.2

65.7

63.6

All

4.84

4.81

4.82

4.8

4.83

Jump

51.3

54.8

57.1

53

55.5

All

59.2

61.7

63.9

63

63.2

14

ROA Annual Report 2018-19

Ownership Strategy for British Horseracing

Ownership Strategy for British Horseracing The Industry Ownership Strategy, which was developed from the findings and results of the 2016 National Racehorse Owners Survey, has gained real momentum throughout 2018 and into 2019.

Background The ROA-led Industry Ownership Strategy made a successful application for industry funding from the Horserace Betting Levy Board in March 2018. The project was founded on the basis of delivery of one of the key strategic objectives of the Industry’s 2015 Strategy for Growth, utilising the results of the 2016 National Racehorse Owners Survey, with an initial focus on the enhancement of the ownership experience for existing owners, thereby achieving improved retention levels. This was a significant development, as industry funds were committed to a project focused on owners, and their vital involvement in the sport.

HBLB funding secured

Key ownership challenges Ownership churn

There is a high rate of churn in the current ownership portfolio. For instance, lapsed ownership is higher (11%) than new ownership (9%).

Ownership composition

There is a need to diversify ownership. For instance, there are currently more owners aged over 80 than under 40, and only 21% of active owners are female.

Ownership involvement

There is an opportunity to increase ownership involvement and engagement. For instance, there are 2,437 owners without a horse in training, and the average field size needs to be increased in-line with the new media rights payments structure.

The structure of the project was initially founded on four key areas: Ownership Promotion Trainers Racecourses This has been refined as follows: Developing the Ownership Proposition

Retention

Enabling and supporting service providers: Trainers, Racecourses and Syndicates

What are the aims?

The aim of the project is to...

This will be achieved by...

Support the racing industry by enhancing the involvement of owners and the number of horses in training.

Ownership proposition

Enabling service providers

Developing a compelling proposition for British Racehorse Ownership to retain existing and attract new owners.

Delivering the proposition by supporting service providers to serve existing and attract new owners.

ROA Annual Report 2018-19

Ownership Strategy for British Horseracing

15

We will improve the on- and off-course ownership experience, developing the infrastructure of services that enable this experience.

We will measure this: Objectives

Current examples of KPIs

Support the racing industry by enhancing the involvement of owners and the number of horses in training Developing a compelling proposition for British Racehorse Ownership to retain existing and attract new owners

Delivering the proposition by supporting service providers to serve existing and attract new owners

Definition

# of Horses In Training

Overall number of Jump, flat and dual-purpose horses in training

% races with 8 or more runners

Share of races that have a field size of 8 or more runners

Net Promoter Score of owners

Share of owners that actively recommend ownership compared to overall number

Churn rate of owners

Ratio of new owners to lapsed owners

Average tenure of ownership

Average number of years that an owner is involved in ownership before lapsing

% of lapsed owners citing service providers

Share of owners who define service providers as primary reason for lapsing

The Industry Ownership Strategy, which was developed from the findings and results of the 2016 National Racehorse Owners Survey, has gained real momentum throughout 2018 and into 2019.

Team The ROA continues to lead the strategy, with a core Project Team focused on the delivery of the aims and objectives. This team has been supported by Portas Consulting. Portas Consulting are specialist sports consultants, bringing their knowledge of over 20 sports to bear, with a client base including Sport England, British Rowing, The FA, England Golf and Formula 1.

Consultation & Collaboration As would be expected of a cross-industry project, consultation and collaboration has been key to the development of the project. Whilst the project is underpinned by and developed from the vital insights achieved through the 2016 National Racehorse Owners Survey, significant additional research has been undertaken to better understand the motivations, enjoyment and frustrations experienced by all types of owner.

Cross-industry collaboration has also been a vital element of the project, with engagement across the industry. There has also been a focus on an outward-looking perspective, with extensive benchmarking undertaken across other organisations.

16

Ownership Strategy for British Horseracing

ROA Annual Report 2018-19

A comprehensive range of industry stakeholders have been engaged

Engagement

Owners

627 responses to ROA membership survey 956 responses to Owner-Breeder survey 596 responses to Syndicate Member survey Deep-dive analysis 2,203 responses from 2016 ownership survey Interviews with 179 owners (phone interviews, in-person interviews, regional meetings) 3 focus groups across the country with a representative group of members to explore survey findings Interviews with 9 non-ROA members

Service providers

Interviews with 6 syndicate managers, 15+ trainers Engaged with 46 racecourses through 2 racecourse workshops 22 responses to the syndicate manager survey Formation of 2 working groups involving racecourses & syndicate managers (~15 members)

Industry bodies

Multiple targeted meetings with 8+ industry bodies to update on the progress of the project and gather insight into their interactions with owners

Outside of racing

Completed benchmarking of 30+ membership organisations (equine and non-equine) to gather best practice such as The RAC, The MCC, British Eventing, Club Wembley, Arsenal, British Airways, Goodwood Road Racing Club

Owners

Syndicate managers Trainers Racecourses RSA BHA RCA

NARS

GBRI GBR NTF

TBA HBLB

Non-equine organisations

The importance of owners and their role within the industry, and the impact that they have through their involvement has been highlighted by the extent of the effects that will be achieved through successful implementation of the Industry Ownership Strategy:

Maintaining the UK’s place in the global bloodstock market

Driving increased income

Raising the profile of racing

Increasing the number of horses in training and boosting field sizes will drive increased income through betting turnover and media rights

Raising the Net Promoter Score of owners will help to raise the reputation and profile of racing in the UK

Increasing owner engagement and improving service provision will support the cementing of the UK’s place in the global bloodstock market

Boosting diversity in racing

Increasing volume at sales houses

Increasing trainers’ yard sizes

Increasing accessibility to ownership and broadening the diversity of owners will increase diversity in racing overall

Developing demand for ownership will translate into increased demand at sales houses

Growing the number of horses in training and boosting owner engagement will drive an increase in the size of trainers’ yards

ROA Annual Report 2018-19

Ownership Strategy for British Horseracing

17

Achievements Significant progress has been made in a number of areas relating to both of these project elements: Industry Ownership Quality Mark: this raceday-focused scheme has been developed to run in parallel with the long-established ROA Gold Standard Award. The AA has been appointed to undertake objective assessments of the owners’ raceday experience across all racecourses. The scheme has been developed in partnership with racecourses, to develop a collaborative and aspirational initiative which will encourage racecourses to deliver ongoing improvements to the raceday experience.

The assessment is made by evaluating the raceday experience across the following areas: Pre-raceday communication Arrival Staff Owners and Trainers facility Food and drink Watching the race Post-race Exit from the racecourse Cleanliness Horse welfare This will allow owners to gain a better understanding of the experience at each course, and to factor this into deciding where their horse runs.

Develop leasing proposition: a revised and updated leasing agreement has been developed, with the support and input of TBA and NTF. This supports the service providers through a simplified and accessible agreement, as well as highlighting an accessible route to ownership Industry Ownership Racedays: the long established ROA Owners Jackpot scheme has been revisited. Jackpot races now act as the focal point for the newly established Industry Ownership Racedays. These Racedays take place on a monthly basis, across region and code of racing. They combine enhanced contact and communication with the ROA membership, with promotion and celebration of ownership to potential owners.

The remaining schedule of racedays across the UK is: July Musselburgh Wednesday 3 July August Ripon Tuesday (eve) 6 August September Perth Monday 9 September October Nottingham Wednesday 2 October November Hereford Tuesday 12 November November Wetherby Wednesday 27 November Deliver ownership-focused training to the industry: there has been a lack of knowledge of the ownership experience and their expectations across the industry. More focused training is now provided through the various industry training courses: from the Overview of Racing course to racing secretaries and Module 2 of the Trainers’ course.

Specific training in relation to the Raceday Experience has been provided in the form of presentations to raceday staff.

Racecourse Workshops: continuing the theme of Racecourse engagement: 2019 saw the delivery of two owner-focused racecourse workshops. They highlighted the experience and expectations of owners, both raceday and beyond. Forty six racecourses were present for the workshops, and these will be delivered annually on an ongoing basis.

ROA Raceday Liaison: we have developed a pilot scheme to further enhance the members’ experience on a raceday. ROA team members are on hand to provide a welcome on the Owners and Trainers’ desk. This is to support racecourses, but the key reason behind the implementation of this role is to provide a more personal and bespoke service to members. This will highlight the owners’ role on a raceday.

The project outcomes will not be delivered with one identifiable solution to the issue of the development of the ownership experience and the project will be successful only with industry-wide collaboration, communication and support and this remains a key focus of the Project Team.

This momentum continues and key priorities will be delivered on an ongoing basis, with regular updates provided to members.

18

ROA Annual Report 2018-19

How the ROA Rewards Ownership

How the ROA Rewards Ownership

So many entry badges…but ROA members need only one for most meetings.

The ROA continues to fund the owner-sponsorship scheme.

Free racecourse admission

ROA Owner-Sponsorship scheme

The ROA’s free racecourse admission schemes continue to be our most popular benefit. With five schemes in operation, all members can enjoy free racing.

The ROA has run an owner-sponsorship scheme with SIS since 2012.

During that time almost 43,000 horses have run in races with jockeys sporting the SIS branding.

As well as the long-standing Racecourse Badge Scheme for Owners, members gain free entry for themselves and a guest to many Jockey Club Racecourse fixtures.

The scheme is highly valued by members as it allows them to register for and reclaim VAT charged on purchase and ownership costs relating to their racehorses and many associated fees. This can represent an annual recovery of over £4,000 per horse.

Members can also enjoy admission to most ARC fixtures, regardless of whether they currently have a horse in training.

Members in Scotland only need to have a 5% share of a horse trained in Scotland to qualify for the Scottish Badge Scheme. This applies to 99% of Scottish meetings.

All ROA members are also eligible for free entry, with a guest, to most fixtures at Newbury Racecourse.

SIS withdrew sponsorship of the scheme in the summer of 2018.

However, to ensure continuity for members, the ROA will be fully funding all subsequent schemes until a new sponsor is in place.

The SIS logos will remain in use during this time but there has been no new deal with SIS and their logos will be replaced in due course.

In the last year the scheme covered over 2,000 horses, including such luminaries as Cracksman, Without Parole, Alpha Delphini, and Ch’tibello.

ROA Annual Report 2018-19

How the ROA Rewards Ownership

19

All smiles as winning ROA members hit the Jackpot.

Owners’ Jackpot scheme The ROA’s Owners Jackpot Scheme was introduced in 2014 to help support racing at grassroots level. A joint promotion between the ROA and Racing Post, the scheme focused predominately on horses racing in Class 5 and 6 races. Since the scheme began, it has paid out around £500,000.

From March 2019 a race each month is selected for a £2,000 bonus and, assuming the winning horse is majority-owned by ROA members, the extra payment is made on top of the race’s prize-money.

The chosen races are staged only at courses which have signed up to the racing industry’s prize-money agreement and these meetings are also required to have a minimum prize-fund of £6,500 per contest. If the trainer is an ROA member and a qualifying horse wins, they will receive £500 for the yard pool.

New to the scheme in 2019 is the fact that, if the winning horse has been bred by an ROA member, then the breeder also wins £500.

This latest addition is part of the Industry Ownership Days initiative, as detailed on page 14.

Win or lose, all qualifying runners in a Jackpot race receive £250 towards travel expenses.

We’ve got it covered…third-party insurance is all part of membership.

Third party liability insurance The ROA members’ scheme for third party liability insurance is arranged through Weatherbys Hamilton LLP. It provides cover of up to £10 million of liability, giving peace of mind for members in the event their racehorse causes damage or injury to a third party or their property.

The scheme exists because owners are currently vulnerable to claims even when their horse is in someone else’s possession. The law may define a racehorse’s owner as any individual who has a financial interest in that horse, so all members of a syndicate should be mindful of their potential exposure to this risk.

The insurance scheme has been extended and now includes cover for owners of Thoroughbred broodmares and young stock at no additional cost to members. Cover will apply to foals, weanlings, yearlings or stores being kept solely for the purposes of rearing within the insured definition under the members’ third party liability scheme.

The cover has been tailored specifically for the ROA by Weatherbys Hamilton for the racehorse owner who may also be an amateur breeder. However, cover will not apply if ownership of breeding stock is professional or through a business.

20

How the ROA Rewards Ownership

ROA Annual Report 2018-19

Outstanding racecourse facilities make it a fun day out for members.

Member events Over the last 12 months the ROA has hosted more member events than ever before, and we love taking to the road to meet you all.

Big accolade for ‘Small Racecourse’ as Bangor staff receive their certificate.

Our regular events at the Cheltenham Festival (with an extended marquee for 2019), the opening day of the Grand National Festival (featuring a course walk), Royal Ascot, Glorious Goodwood, the opening day of the York Ebor meeting and British Champions Day all proved as popular as ever. We also hosted pre-racing drinks on the Tuesday of Glorious Goodwood and on British Champions Day.

Gold Standard Awards

The last year has also seen the expansion of our regional meeting programme so that we host one per month, ensuring that we grant access to as many members as possible across the length and breadth of the country.

The much-coveted Gold Standard Award was introduced in 2006 and was initially awarded to all courses that met certain standards.

The ROA is heavily invested in the owners’ raceday experience, and the way in which we reward those racecourses that offer the best experience to owners is continually evolving.

The regional meetings now form part of the ROA Industry Ownership Days, which recognise owners and promote ownership to racegoers.

These days also encompass our Owners Jackpot races and with the ROA sponsoring the majority of the card, many members take part in the winner presentations and in judging the ‘best turned-out’ horses.

Since 2015 this process has been made more competitive by capping the number of courses that can receive the accolade to a maximum of 16. These were divided into Large and Small racecourses, with a maximum of six in the large and 10 in the small categories. In addition, one course in each category is selected as the most improved in the preceding 12 months, in the hope this course will soon make the Gold Standard Award shortlist.

Away from the racecourse, we again ran our now ubiquitous Banstead Manor and Cheveley Park Stud visit, which last year included lunch at Palace House.

Those racecourses receiving an Award are then put forward for the Large and Small Racecourse of the Year title, which is announced at the ROA’s Awards dinner in December.

ROA members once again enjoyed the Breakfast With The Stars event and course walk at Epsom Downs, and reciprocal days in Ireland and France at racedays such as the Deauville and Punchestown and Galway Festivals.

The 2018 Gold Standard Award winners were:

New additions to our events roster were trips to the Retraining of Racehorses associated charities HEROS in Wantage, and New Beginnings in York.

The ROA concluded the year in style – with the ever-glamorous ROA Horseracing Awards and Dinner, at the InterContinental Hotel, Park Lane, London, attended by around 400 people.

The overall winners on the night were once again Owner of the Year Khalid Abdullah, and his wonderful racemare and Horse of the Year, Enable. Along with this, it was a delight to see a large number of John Gosden’s staff in attendance to collect their prestigious awards.

Large Racecourses Ascot Ayr Cheltenham Chester Haydock Park York Overall winner: Chester Most improved: Newbury

Small Racecourses Bangor-on-Dee Carlisle Fakenham Hamilton Park Market Rasen Musselburgh Perth Sedgefield Uttoxeter Overall winner: Bangor-On-Dee Most improved: Wetherby

How the ROA Rewards Ownership

ROA Annual Report 2018-19

AA plays a part in giving racecourses a ‘quality mark’ The Automobile Association is due to play an important role in the way racecourses are assessed for the owners’ experience in 2019.

This will involve the introduction of a ‘quality mark’.

With the assistance of the AA, all 60 courses will receive an initial inspection by that renowned organisation and be scored on all aspects of the owners’ raceday experience and on the facilities an owner may encounter during their day.

If the course reaches a particular benchmark (to be set once all assessments have been completed) then they will receive a ‘quality mark’. If this benchmark is exceeded by a significant amount, then the course will also be eligible for a Gold Standard Award inspection. This follow-up will be performed by members of the ROA Board and staff and their reports will form the basis upon which the Gold Standard Awards are to be decided.

However, all this will not be possible without much-needed feedback from ROA members, as we cannot have inspectors at every fixture at every racecourse. Therefore, all ROA members are invited to complete a quick and easy questionnaire at roa.co.uk/feedback every time they have a runner. This information will provide invaluable insights into both the highlights and low points experienced by racehorse owners. As an extra incentive, each completed form will be entered into a monthly prize draw for a £50 M&S gift card.

21

In Short…

Discounts on BHA registration fees: Members continue to enjoy a 20% discount on most BHA registration fees. This saves, on average, £75 per year.

Thoroughbred Owner Breeder: Published jointly by the ROA and Thoroughbred Breeders Association, Thoroughbred Owner Breeder magazine continues to go from strength to strength under editor Edward Rosenthal. The magazine’s online presence has grown throughout the year as Zoe Vicarage has been recruited to become their Head of Digital. Members can now access additional stories through ownerbreeder.co.uk and their social channels. Members can now download a digital version of each issue via iTunes.

Owners’ car parking label: The ROA priority car parking label provides free access to the Owners and Trainers car parking at almost every racing fixture.

International hospitality reciprocation: Once again, collaboration with the Association of Irish Racehorse Owners and France Galop has enabled members to enjoy exclusive hospitality at the Punchestown Festival and at the Galway and Deauville Festivals. Details of this year’s programme of reciprocal racedays can be found in the Events section at roa.co.uk/events.

Raceday Curtailment Scheme: We know that the abandonment of meetings during racing is extremely frustrating for owners. Not only do they face the disappointment of their horse not being able to run, but also have to pick up the costs of their horse’s transport to the races. To help offset owners’ costs in these situations, the ROA Raceday Curtailment Scheme provides a payment of £100 to a member or members who own at least 51% of any horse who had been due to run at a meeting that is abandoned for the day after the first race has taken place. Since the last Annual Report there have been six qualifying abandonments, i.e. after the first race had taken place. This has resulted in 138 qualifiers, and £13,800 being paid out to members by Weatherbys Hamilton.

Assistance with owner-trainer disputes: The ROA continues to assist with owner-trainer issues and disputes. Impartial guidance is given in confidence and members are, when required, provided with details of legal advisers with racing-related experience.

ROA-branded Racing Post desk calendar: An ROA-branded Racing Post desk calendar was once again sent to members.

Member discounts: A wide range of useful discounts continue to be available. They relate to the Racing Post, RacingTV, holidays with Racing Breaks, discounted admission to Palace House National Heritage Centre for Horseracing & Sporting Art and Ascot Racecourse admission charges and hospitality.

22

Board Members

Board Members

ROA Annual Report 2018-19

Nicholas Cooper CBE ROA Board: Co-opted 2014, Appointed Director 2015, Appointed President 2016 Previous positions and companies: Founded Stirling Insurance Group in 1994, Retired after its acquisition in 2015 Best horses owned: Eulogy, I’m Supposin, Wannabe Posh, Tyranny, Charmix, Fallen Star Current trainer: Harry Fry Committees: BHA Member’s Committee, Horsemen’s Group

Alan Pickering CBE ROA Board: Elected 2011, Vice-President 2015 Current business position: Chairman, BESTrustees Limited Previous positions and companies: Partner, Watson Wyatt Years as owner: 25 Horses owned: Flamborough Breeze, Primrose Valley, Miss Fridaythorpe, Absent Lady, Mr Velocity, Barons Pitt, Convivial Spirit, Honorable Endeavour, Miss Tikitiboo, Bobal Girl, Cosmic Destiny, Robin Hoods Bay, Whitby Jet, Scarborough Lily and many more Current trainer: Ed Vaughan Committees: BHA Rules Committee, ROA Raceday Committee (Chair)

Steven Astaire ROA Board: Elected 2016; previously served 25 years on the Board Current business position: Retired. 46 years Investment Manager, Stockbroker Previous positions and companies: Chairman,

Astaire and Partners (stockbrokers) Positions held in racing: ROA Board Member for 25 years, Past Chairman of the Point-to-Point Secretaries Association, Past Director of Point-to-Point Authority Limited, retired Amateur Jockey Years as owner: 45 Horses currently owned: Kimora and Follow The Paint Horses previously owned: Yahoo, Hiram B Birdbath, Funchen View Current trainer: Mick Quinn Committees: ROA Raceday Committee

Board Members

ROA Annual Report 2018-19

23

Sally Bethell ROA Board: Elected 2013 and 2017 Current professional position: Partner – JDW and Mrs S Bethell Racehorse Training Years as owner: 30 years Horses currently owned: Strawberryandcream and a partner in Clarendon Thoroughbred Racing Horses previously owned: Fossgate. Part-owned: Arelquin, Granston.

Clarendon Thoroughbred Racing: Penhill, Braidley, Hartley Bradbury, Mickley, Fearby Cross, Crathorne, Medelai – to name a few!

Current trainer: James Bethell Committee: Thoroughbred Owner Breeder Board

Yvette Dixon ROA Board: Elected 2016 Current business position: Racing secretary, Scott Dixon Racing, owner and breeder Previous positions and companies: Stud owner Haygarth House Positions held in racing: Trustee of RoR, Founding member Leger Legends committee, current member Racing Welfare, Doncaster Race-day Committee Years as owner: 20-plus Horses currently owned: Crosse Fire, Medici Moon, Krystallite, Samovar, involved in many syndicates Horses previously owned: Milk it Mick, Singhalese, Ascertain, No Time, Docofthebay, Red Wine, Coastal Bluff . NH Daldini, Little Big Horse and Snowmore Current trainer: Scott Dixon

Celia Djivanovic ROA Board: Elected 2018 Previous business positions: Solicitor at Lovell White Durrant, lay member of Avon & Somerset Police Authority, Events Committee of British Horse Trials, Trustee of The Horse Trust Years as owner: 9 Horses Currently Owned: Bold Reason, partner in Dusky Lark, Way Out West, Cardigan Bay, L’Escrime d’Art and Nugget (Highclere) Horse Previously Owned: Shares in Cannington Brook, Marshal Zhukov, and others Current trainers: Charlie Longsdon, Robert Walford, Ben Pauling and Richard Hannon (Highclere Syndicate)

Paul Duffy ROA Board: Elected 2011, 2015 and 2018 Current business position: Professional Pensions Trustee Previous positions and companies: Managing Director – Bluefin & SBJ Pension Fund Manager

Years as owner: 19 Positions held in racing: Partnership Manager Horses currently owned: Diamond Reggie, Diamond Benny, Field Of Vision. Shares with Anglo Australia Racing and other partnerships Horses previously owned: Reve De Sivola, Diamond Harry, Cresswell Breeze, Another General, Bullfinch, Dealers Choice Current trainers: Peter Bowen, Robert Stephens, John Flint, Anthony Honeyball Committees: ROA Audit Committee (Chair), ROA Raceday Committee and ROA Membership Committee

Sam Hoskins ROA Board: Elected 2017 Current business position: Manager of Kennet Valley Thoroughbreds and Hot To Trot Racing Previous positions and companies: TBA Board, TBA Next Generation Committee (Chairman), ROR Trustee (as TBA representative) Positions held in racing: BHA National Hunt Pattern Committee Years as owner: 6 Current trainers: Andrew Balding, Ralph Beckett, Clive Cox, William Knight, Eve Johnson-Houghton, Mark Johnston Horses currently owned: Magical Memory, Persian Moon

24

Board Members

ROA Annual Report 2018-19

Patricia Pugh ROA Board: Co-opted in 2016 Current business position: Non-Executive Director of two arts organisations Previous positions and companies: Art Curator National Heritage Centre for Horseracing and Sporting Art, Museum of London, National Museums Liverpool and the National Portrait Gallery; Solicitor Herbert Smith Freehills Years as owner: 19 Horses currently owned: Altior, Pym Horses previously owned: Alph, Arctic Sky, Walkingonthemoon, Hung Parliament, Silverhow and Montjess Current trainers: Nicky Henderson Committees: Membership Committee, Raceday Committee, Remuneration and HR Committee

Charlie Parker ROA Board: Elected 2015 and 2018 Current business position: Owner of Crimbourne Stud Limited and Director of various other businesses Previous positions and companies: Chief Executive the Club Company and the Country Club Group Years as owner: 25 Horses currently owned: Verdana Blue, Barbados Blue, Vegas Blue, Moongazer, Flying Moon, Jungle Book, Maysonic, Red Sun, Haitian Spirit Horses previously owned: Roz, Ifni Du luc, Gotonetoo, Master Mac, Benartic, Zeuss, Black Label Current trainers: Nicky Henderson, Charlie Hills, Jonny Portman and Gary Moore Committees: ROA Audit Committee, ROA Membership Committee

Alan Spence ROA Board: Elected 2017 Current business position: Retired.

Previous positions and companies: Chief Executive, Britannic Travel 1970 – 2006 Years as owner: 46 Horses currently owned: Fire Fighting, Fraser Island, Star in the Making and 15 others.

Horses previously owned: Profitable, Jukebox Jury etc (over 300 winners) Current trainers: Mark Johnston, Roger Varian, Amanda Perrett, Clive Cox, Nicky Henderson

Chris Wright CBE ROA Board: Co-opted 2016 Positions and companies: Co-founder and Chairman of Chrysalis Group 1968 to 2011 Positions held in racing: Previously, TBA Board Member Years as owner: 35 Current trainers: Paul Cole, Michael Bell, Archie Watson, Eve Johnson Houghton, George Scott, Ian Williams and Richard Hannon Horses currently owned: Baron Bolt, Bubble and Squeak, Chairmanoftheboard, Kinks, Electric Ladyland Horses previously owned: Culture Vulture, Chriselliam, Dark Angel, Bungle in the Jungle, Crime of Passion

ROA Scotland Representative

Ken McGarrity ROA Board: Co-opted 2016 Current business position: Group Finance Director (non-executive) Nairn’s Oakcakes Group Years as owner: 13.

Current trainers: Nick Alexander, Keith Dalgleish, Sandy Thomson Horses currently owned: Arthur’s Secret, Blue Kascade, Forever A Lady, Crazy Tornado, King’s Wharf, Geronimo, Eagle Ridge, Silk And Scarlet, Ballynanty, Diamond Rock, Fair Minx, Jacob Black and Sirwilliamwallace Committees: ROA Scotland Representative, ROA Audit Committee, ROA Raceday Committee

Welfare in racing

ROA Annual Report 2018-19

25

The increasing importance of horse welfare in racing The racehorse is at the very heart of our sport and, increasingly, their welfare is at the centre of so many policies in racing.

It is why owners pay £1.25 per race-entry for the welfare of former racehorses and £1.20 per entry for the benefit of the Equine Infectious Diseases Service of the Animal Health Trust.

It is also why the Levy Board has contributed over £32m since the year 2000 towards general veterinary science and education.

The care of the racehorse has come far over the last few years and it will continue to evolve. Demister fans and rapid water cooling methods are now used on the hottest race days, while many other safety measures are employed at big meetings such as the Cheltenham and Grand National Festivals where horses are often at the greatest risk and public interest is at its height.

More generally, the latest research includes projects looking at developing better training and racing surfaces to increase the safety, health and wellbeing of racehorses.

The ROA continues to uphold its commitment to furthering equine welfare by: ● Being a member of the ‘Horse Comes First’ campaign and now having a seat on the newly-formed Horse Welfare Board. ● Having a dedicated equine welfare member of staff who attends relevant conferences and meetings. ● Being a member of the National Equine Welfare Council. ● Supporting Racing Welfare – as good care of racehorses begins with the staff who look after them. ● Holding member-only visits to sites of educational interest including veterinary hospitals and racehorse retraining centres. ● Strongly supporting the introduction of 30-day foal microchipping, meaning that horses can be tracked and identified throughout their life. ● Having an elected ROA Board member sit on the Retraining of Racehorses Board, to assist in their decision-making processes.

The importance of horse welfare cannot be over-estimated as we move into a world where public opinion on animal rights has an increasing profile among governments and political parties whose support the racing industry must constantly seek.

26

ROA Annual Report 2018-19

Contributions to prize-money 2017-18

Individual racecourse contributions to prize-money 2017-18 Course Group

Total racecourse contribution 2018

Total racecourse contribution 2017

Total number of fixtures 2018

Ascot

7,309,114

6,478,471

25

York

4,453,056

4,130,946

Goodwood

4,069,477

3,643,098

Newbury

2,358,090

2,085,937

JCR

26,807,074

23,053,923

Chester/Bangor Group

1,593,870

1,598,925

Chelmsford City

3,603,180

2,400,476

Ayr

1,579,496

Kelso Salisbury

Total number of fixtures 2017

Rank 2018

Average racecourse contribution per fixture 2018

Rank 2017

Average racecourse contribution per fixture 2017

24

1

292,365

1

269,936

18

18

2

247,392

2

229,497

19

19

3

214,183

3

191,742

27

28

4

87,337

4

74,498

340

335

5

78,844

5

68,818

30

30

6

53,129

6

53,298

69

52

7

52,220

7

46,163

1,153,641

33

31

8

47,864

13

37,214

617,513

380,400

13

12

9

47,501

14

31,700

698,460

640,064

15

16

10

46,564

9

40,004

Pontefract

697,890

609,312

15

16

11

46,526

12

38,082

Hamilton Park

766,170

663,408

18

17

12

42,565

10

39,024

Ripon

719,763

661,062

17

17

13

42,339

11

38,886

Musselburgh

1,035,341

1,176,073

26

27

14

39,821

8

43,558

Newton Abbot

669,708

506,430

18

17

15

37,206

20

29,790

Wetherby

654,046

572,761

18

20

16

36,336

23

28,638

Redcar

576,496

474,660

16

18

17

36,031

27

26,370

Perth

536,775

467,235

15

15

18

35,785

17

31,149

Thirsk

558,672

502,672

16

16

19

34,917

15

31,417

Cartmel

309,780

276,957

9

9

20

34,420

19

30,773

Stratford

550,544

585,694

16

19

21

34,409

18

30,826

Beverley

610,866

592,040

18

19

22

33,937

16

31,160

Fakenham

402,996

306,889

12

11

23

33,583

24

27,899

Leicester

931,396

833,306

28

29

24

33,264

22

28,735

Ludlow

491,235

504,815

15

17

25

32,749

21

29,695

Catterick Bridge

823,410

580,366

26

27

26

31,670

29

21,495

ARC

17,340,584

15,149,176

549

548

27

31,586

25

27,644

Taunton

342,588

414,330

12

15

28

28,549

26

27,622

Hexham

401,295

347,088

15

16

29

26,753

28

21,693

Towcester

233,577

169,610

9

10

30

25,953

31

16,961

Plumpton

316,540

290,944

14

16

31

22,610

30

18,184

JCR = Jockey Club Racecourses ARC = Arena Racing Company

ROA Annual Report 2018-19

Report and Financial Statements

Total prize-money 2013

2014

2015

2016

2017

2018

Flat (AWT)

£11,559m

£14,019m

£16,096m

£17,758m

£18,194m

£25,393m

Flat Turf

£64,344m

£68,361m

£73,640m

£74,729m

£77,342m

£86,453m

Jump

£38,320m

£40,609m

£42,415m

£45,116m

£46,999m

£54,275m

Total

£114,223m

£122,989m

£132,151m

£137,603m

£142,535m

£166,121m

Contribution 2013

2014

2015

2016

2017

2018

Levy Board

£47.8m

£48m

£48.5m

£44.6m

£44.4m

£47.7m

Racecourse

£48.6m

£54.6m

£61.7m

£68.5m

£73.6m

£84.7m

Owners

£17.9m

£20m

£21.7m

£22.5m

£22.3m

£24.4m

Other

£0m

£0.3m

£0.3m

£1.9m

£2.1m

£9.32m

Total

£114.3m

£122.9m

£132.2m

£137.5m

£142.5m

£166.12m

Totals for 2018 include payments made under the Appearance Money Scheme.

27

28

Report and Financial Statements

FOR THE YEAR ENDED 31 MARCH 2019

Report and Financial Statements Directors

S Astaire S Bethell N G Cooper CBE Y Dixon D P Duffy R S Hoskins C M Parker A M Pickering CBE P Pugh A D Spence C Wright CBE C J Djivanovic

Secretary

C O A Liverton

Company no.

398604

Registered office

1st Floor 75 High Holborn London WC1V 6LS

Auditor

RSM UK Audit LLP Chartered Accountants Abbotsgate House Hollow Road Bury St Edmunds Suffolk IP32 7FA

ROA Annual Report 2018-19

ROA Annual Report 2018-19

Directors’ Report The directors present their annual report and financial statements for the year ended 31 March 2019.

Principal activities

The principal activity of the Association continued to be that of promoting and supporting the interests of racehorse owners in Great Britain funded through membership subscriptions.

During the year the organisation has undertaken the industry ownership strategy project which has been funded by the Horserace Betting Levy Board.

Directors

The directors who held office during the year and up to the date of signature of the financial statements were as follows: S Astaire S Bethell N G Cooper CBE Y Dixon L Douglas (Resigned 3 July 2018) D P Duffy R S Hoskins C M Parker A M Pickering CBE P Pugh H S Smith (Resigned 3 July 2018) A D Spence J J W Wadham (Resigned 3 July 2018) C Wright CBE C J Djivanovic (Appointed 3 July 2018)

Auditor

RSM UK Audit LLP have indicated their willingness to be reappointed for another term and appropriate arrangements have been put in place for them to be deemed reappointed as auditors in the absence of an Annual General Meeting.

Statement of disclosure to auditor

So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the company’s auditor is unaware. Additionally, each director has taken all the necessary steps that they ought to have taken as a director in order to make themselves aware of all relevant audit information and to establish that the company’s auditor is aware of that information.

This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies exemption.

On behalf of the board

Report and Financial Statements

29

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the surplus or deficit of the company for that period. In preparing these financial statements, the directors are required to: ● select suitable accounting policies and then apply them consistently; ● make judgements and accounting estimates that are reasonable and prudent; ● prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company’s transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Independent Auditor’s Report to the Members of the Racehorse Owners Association Limited Opinion

We have audited the financial statements of The Racehorse Owners Association Limited (the ‘company’) for the year ended 31 March 2019 which comprise the Statement of Comprehensive Income, the Statement of Financial Position and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements: ● give a true and fair view of the state of the company’s affairs as at 31 March 2019 and of its surplus for the year then ended; ● have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

N G Cooper CBE Director

Directors’ Responsibilities Statement The directors are responsible for preparing the Directors’ Report and the financial statements in accordance with applicable law and regulations.

● have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial

30

ROA Annual Report 2018-19

Report and Financial Statements

statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

● adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or ● the financial statements are not in agreement with the accounting records and returns; or

We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where:

● certain disclosures of directors’ remuneration specified by law are not made; or

● the directors’ use of the going concern basis of accounting in the preparation of the financial statements is not appropriate; or

● we have not received all the information and explanations we require for our audit; or

● the directors have not disclosed in the financial statements any identified material uncertainties that may cast significant doubt about the company’s ability to continue to adopt the going concern basis of accounting for a period of at least twelve months from the date when the financial statements are authorised for issue.

● the directors were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies’ exemption from the requirement to prepare a strategic report or in preparing the directors’ report.

Other information

The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The directors are responsible for the other information. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit: ● the information given in the directors’ report for the financial year for which the financial statements are prepared is consistent with the financial statements; and ● the directors’ report has been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the directors’ report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of directors

As explained more fully in the directors’ responsibilities statement set out on page 2, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: http://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of our report

This report is made solely to the company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006.

Our audit work has been undertaken so that we might state to the company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

Claire Sutherland (Senior Statutory Auditor). For and on behalf of RSM UK Audit LLP, Statutory Auditor, Chartered Accountants, Hollow Road, Bury St Edmunds, Suffolk, IP32 7FA

ROA Annual Report 2018-19

Report and Financial Statements

Statement of Comprehensive Income ended 31 March 2019 Note

Notes to the Financial Statements ended 31 March 2019

2019 £

2018 £

2,547,649 (2,517,046)

2,048,704 (2,022,303)

Operating surplus

30,603

26,401

Interest receivable and similar income

14,029

13,959

Surplus before taxation

44,632

40,360

(2,666)

(2,652)

41,966

37,708

Income Operating expenses

Tax on surplus

3

Surplus for the financial year

Statement of Financial Position as at 31 March 2019

Notes Fixed assets Intangible assets Tangible assets Investments Current assets Debtors: Due after one year Debtors: Due within one year Investments Cash at bank and in hand Creditors: amounts falling due within one year Net current assets Total assets less current liabilities Reserves Income and expenditure account

2019 £

2018 £

4 5 6

162,888 83,585 –

90,486 – –

7 7 8

– 567,073 1,740,215 169,502

100,840 215,337 2,031,250 313,978

2,476,790

2,661,267

(1,310,544)

(1,381,138)

1,166,246

1,280,267

1,412,719

1,370,753

9

1,412,719

1,370,753

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies’ regime.

The financial statements were approved by the board of directors and authorised for issue on 29 May 2019 and are signed on its behalf by:

N G Cooper CBE Director

31

1. Accounting Policies Company information The Racehorse Owners Association Limited is a private company limited by guarantee and is registered and incorporated in England and Wales. The registered office is 75 High Holborn, London, WC1V 6LS. Accounting convention These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

Income and expenditure Income and expenses are included in the financial statements as they become receivable or due.

Intangible fixed assets other than goodwill Intangible assets, including website development costs, are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.

Amortisation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases: Software

20% per annum on cost

Tangible fixed assets Tangible fixed assets are initially measured at cost and subsequently measured at cost, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost of assets less their residual values over their useful lives on the following bases: Leasehold improvements Other plant and machinary

20% per annum on cost 25% per annum on cost

Fixed asset investments Interests in associates are initially measured at cost and subsequently measured at cost less any accumulated impairment losses.

Impairment of fixed assets At each reporting period end date, the company reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

32

ROA Annual Report 2018-19

Report and Financial Statements

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in surplus or deficit, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

Cash and cash equivalents Cash and cash equivalents are basic financial instruments and include cash in hand, deposits held at call with banks and other short-term liquid investments with original maturities of three months or less.

Financial instruments The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised when the company becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets Basic financial assets, which include trade and other debtors and loans due from associate companies, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method.

Classification of financial liabilities Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

Basic financial liabilities Basic financial liabilities, including trade and other creditors, are initially recognised at transaction price. Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Taxation The company is exempt from corporation tax, other than on its investment income, it being a company not carrying on a business for the purposes of making a profit.

Employee benefits The costs of short-term employee benefits are recognised as a liability and an expense.

Retirement benefits The company established with effect from 1 January 2015 a defined contribution pension scheme for all new employees. For existing employees, the company continued to pay into their own personal defined contribution schemes unless they opted to join the new scheme.

From 1 February 2019 the company established a new defined contribution pension scheme which applies for all employees.

Leases Rentals payable under operating leases, including any lease incentives received, are charged to income on a straight line basis over the term of the relevant lease.

Grants Grants relating to revenue are recognised in income on a systematic basis over the period to which the entity recognises the related costs for which the grant is intended to compensate.

Members’ subscriptions Members’ subscriptions are accounted for on an accruals basis, in compliance with Section 23 of FRS102. When the company receives subscription income from a member in advance, a liability is recognised of an equal amount. Over the period to which the subscription relates the liability is proportionately reduced and recognised as revenue.

2. Employees The average monthly number of persons (including directors) employed by the company during the year was 8 (2018 - 7).

3. Taxation Current tax UK corporation tax on surplus for the current period

2019 £

2018 £

2,666

2,652

4. Intangible fixed assets Cost At 1 April 21018 Additions At 31 March 2019

Other £ 90,486 89,489 179,975

Amortisation and impairment Amortisation charged for the year

17,087

At 31 March 2019

17,087

Carrying amount At 31 March 2019

162,888

At 31 March 2018

90,486

ROA Annual Report 2018-19

Report and Financial Statements

5. Tangible fixed assets

7. Debtors

Land and Plant and improvements £ machinery etc £

Total £

Cost At 1 April 2018 Additions

19,943 –

134,651 96,383

154,594 96,383

At 31 March 2019

19,943

231,034

250,977

Depreciation and impairment At 1 April 2018 19,943 Depreciation charged in the yaer

134,651 12,798

154,594 12,798

At 31 March 2019

19,943

147,449

167,392

Carrying amount At 31 March 2019

–

83,585

83,585

At 31 March 2018

–

–

–

2019 £

2018 £

–

–

On 8 June 2004 the company became a member of Thoroughbred Owner & Breeder Limited, a company registered in England and Wales, limited by guarantee, and not having share capital. The liability of its members is limited to £1 each and nothing was paid for the investment. As such there is no asset in the accounts. At the balance sheet date there were two members of this company. The company produces a magazine for members.

On 16 June 2006 the company became a member of Horsemen Limited, a company registered in England and Wales, limited by guarantee, and not having share capital. The liability of its members is limited to £1 each and nothing was paid for the investment. As such there is no asset in the accounts. At the balance sheet date there were five members of this company. The company represents the collective interests of owners, trainers, breeders, jockeys and stable staff.

On 31 July 2007 the company became a member of British Horseracing Authority Limited, a company registered in England and Wales, limited by guarantee, and not having share capital. The liability of its members is limited to £1 each and nothing was paid for the investment. As such there is no asset in the accounts. At the balance sheet date there were four members of this company. The company is the regulatory and governing body of horseracing in Great Britain. British Horseracing Authority Limited have two wholly owned subsidiaries, Great British Racing and British Horseracing Database Limited. Both companies are registered in England and Wales. The principal activity of Racing Enterprises Limited is the commercialisation of the contents of the Racing Administration database through access and user licence agreements with third parties, whilst British Horseracing Database Limited's principal activity is the maintenance and licences of the database.

2019 £

2018 £

25,567 –

41,416 1,873

127,639 413,867

– 172,048

567,073

215,337

Amounts falling due after more than one year: Amounts owed by undertakings in which the company has a participating interest Total debtors

8. Current asset investments Cash held on deposit and bonds

6. Fixed asset investments

At 1 April 2018 and 31 March 2019

Amounts falling due within one year: Trade debtors Corporation tax recoverable Amounts owed by undertakings in which the company has a participating interest Other debtors

33

–

100,840

567,073

316,177

2019 £

2018 £

1,740,215

2,031,250

9. Creditors: amounts falling due within one year

Trade creditors Corporation tax Other taxation and social security Other creditors

2019 £

2018 £

67,884 2,568 17,444 1,222,648

433,294 – 14,303 933,541

1,310,544

1,381,138

10. Members’ liability Each member's liability is limited to a maximum contribution of £3 in the event of the winding up of the company. The number of members as at 31 March 2019 was 7,976 (2018: 8,104).

11. Operating lease commitments Lessee At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:

Within one year Between one and five years

2019 £

2018 £

80,000 86,667

80,000 166,667

166,667

246,667

12. Capital commitments Amounts contracted for but not provided in the financial statements: 2019 £

2018 £

Acquisition of tangible fixed assets

33,834

34

ROA staff and their roles

ROA Annual Report 2018-19

ROA staff and their roles Charlie Liverton Chief Executive 1. Providing executive leadership and direction for the organisation, as determined by the Board on behalf of members.

2. Representing owners, working to improve their financial returns, working in partnership with the Horseman’s Group, with a view to supporting returns to all horsemen.

3. Representing owners on industry committees, helping to improve many important areas, including the BHA, RCA and Horseman’s Group under the new tripartite agreement.

4. Engaging with and updating ROA members at monthly regional meetings and the AGM. 5. Liaising closely with partners and sponsors to maintain and enhance existing benefits.

6. Leading and developing the Industry Ownership Strategy Project.

Jamie Wilson Deputy Chief Executive 1. Ensuring the ROA financial systems are robust, compliant and supportive of future growth.

2. Alongside the Chief Executive, leading and developing the Industry Ownership Strategy Project 3. Advising and working with the Chief Executive representing the ROA at various industry and stakeholder meetings.

4. Responsible for the GDPR Compliance Programme.

5. Management of ROA employees, consultants and commercial relationships with third parties.

David Bowen Head of Membership 1. Overseeing membership strategy for the association.

2. Developing partnerships to increase suite of member benefits.

3. Providing guidance on technology issues for the association.

4. Engaging with racehorse owners - both members and non-members.

5. Overseeing brand and communication functions.

Sadie Evans Membership Manager 1. Providing industry liaison for membership and executive teams.

2. Compiling copy for ROA Forum in Thoroughbred Owner Breeder.

3. Overseeing member third party liability insurance and curtailment schemes.

4. Providing support to members on a range of ownership and membership issues.

5. Organising a number of ROA member events and co-ordinate overseas reciprocal arrangements.

Keely Brewer Communications Executive 1. Developing and maintaining the ROA website and increasing the ROA’s social and online presence.

2. Co-ordinating membership communications.

3. Undertaking monthly membership reports and analysis of statistics.

4. Implementing and developing the new ROA Database and becoming a CRM superuser.

5. Overseeing Thoroughbred Owner Breeder administration.

ROA Annual Report 2018-19

ROA staff and their roles

Sarah Holton Membership Services and Racecourse Relations Executive 1. Administrator for, and member of, the ROA Raceday Committee.

2. Responsible for the organisation of the ROA Industry Ownership racedays, including Jackpot races and aspects of regional meetings.

3. Overseeing the ROA Sponsorship Scheme.

4. Organising ROA member events including Royal Ascot and British Champions Day. 5. Acting as the ROA’s equine welfare liaison person.

Ruth Diver PA to Chief Executive 1. Supporting the Chief Executive in his aims and objectives.

2. Preparing, circulating papers and taking minutes of Board and other meetings.

3. Liaising with Board Members, staff and external clients on the Chief Executive’s behalf.

4. Reading, monitoring and responding to the Chief Executive’s correspondence on his behalf.

5. Booking meetings and ensuring smooth running of the office diary.

Holly Braggins Membership Assistant 1. Providing primary point of contact for all ROA member queries.

2. Assisting with the maintenance of the ROA membership database and providing administrative support.

3. Collating, disseminating and processing of subscription payments.

4. Processing and logging event bookings and payments.

Sienna Elles Executive Support 1. Providing administrative support for the Industry Ownership Strategy Project.

2. Providing administrative support to the ROA executive team.

3. Managing the logistical elements of all Industry Ownership Strategy events.

4. Having responsibility for office supplies, greeting visitors and providing general administrative support.

5. Being part of the core planning group for the AGM and ROA Horseracing Awards.

35

36

Notice of Meeting

Notice of Meeting

ROA Annual Report 2018-19

Notice is hereby given that the 75th Annual General Meeting of the Racehorse Owners Association Limited (the “Company�) will be held at 10.30am on Tuesday, 2 July 2019 in the Jumeirah Carlton Tower Hotel, Cadogan Place, London SW1X 9PY for the following purposes: 1. To receive, by way of Ordinary Resolution, the nominations of the Board for President (Nicholas Cooper) and Vice-President (Chris Wright) for the coming year.

2. To receive, by way of Ordinary Resolution, the results of the Election to fill vacancies on the Board.

3. To confirm and adopt, by way of Ordinary Resolution, the Report and Financial Statements for the 12-month period ended March 31st, 2019.

4. To appoint, by way of Ordinary Resolution, RSM UK Audit LLP as auditors in accordance with Section 485 of the Companies Act 2006 (as amended).

5. To authorise, by way of Ordinary Resolution, the ROA Board to fix the remuneration of the Auditors.

Charlie Liverton Chief Executive Dated this day, May 31st, 2019.

Registered Office: First Floor, 75 High Holborn, London WC1V 6LS Registered in England No 398604 Please direct any general queries regarding this meeting to Keely Brewer either by email to kbrewer@roa.co.uk or by phone on 020 7152 0200.