HORSE Racing Ireland [HRI] put less into prize money in 2024 than it did in 2019, despite the total prize money pool rising from €66 million to almost €70 million in that timeframe.
Owners and trainers have drawn attention to HRI’s decreased contribution and called on the semi-state body to take urgent action to prevent Irish racing from losing owners and international competitiveness.
The stakeholders have also pointed out that HRI’s Government grant increased by 13% during that timeframe.
Using figures published this week by HRI in its 2024 Fact Book, Feidhlim Cunningham, chief executive of the Irish Racehorse Trainers Association [IRTA], said: “The main takeout for us is that although prize money has increased by €3.8 million since 2019, HRI’s prizemoney contribution has reduced by €92,000, despite there being 27 additional fixtures and an increase of €8.8 million in Government funding.
“The largest increase in prize money in that period can be attributed to the owners (€2.2m increase) and the Irish EBF (€747,000 increase).”
Losing ground
Cunningham added: “Ireland has long been a leader in the global racing industry, but we are now at a crucial juncture. We are losing ground on our closest counterparts.
“If we want to sustain our industry then we have to improve our prize money levels. If we continue on this path, we are at risk of becoming a breeding ground for talent that will ultimately compete in other racing jurisdictions. Our members and their owners are competing for prize money levels that are unsatisfactory.”
Cunningham cited two recent Grade 3/Group 3 races to back his argument.
“The Grade 3 Newlands Chase in Naas in 2007 was worth €60,000. In 2019 its value was €46,500 and it was due to be run this year for €37,500.
“The Group 3 Park Express Stakes in the Curragh in 2007 was worth €100,000. In 2019 its value was €77,500 and its value this year is €68,500.”
A statement issued by the Association of Irish Racehorse Owners said: “It is not too long ago when winning one race would cover the costs for owners, now winning four races may mean that owners break even.
“HRI’s contribution to prizemoney falls €92,000 short of pre-Covid levels. In stark contrast, the owners’ contribution to the prizemoney pot went up by €2.2million.
“During the pandemic owners continued to fully support the industry, accepted the prizemoney cuts imposed and kept industry staff in employment. Despite many calls from AIRO the prizemoney levels have failed to rise back to those pre-Covid levels.
HRI insist that prizemoney is a priority and we must acknowledge the increases announced in early 2025 which were gratefully received but sadly it falls short in comparison to the level of investment that is coming in from owners each year.
“Perhaps it’s time to have a good look at industry spending to see where we can make cuts.”
HRI defence
Asked to explain HRI’s diminished contribution to prize money, HRI chief executive Suzanne Eade said: “The total HRI prize money budget for 2025 is €70.9m, up €1m on the overall prize money paid out in 2024. This is €1.3m ahead of our Strategic Plan target figure of €69.6m for this year and despite our Government funding being €1.5m lower than its 2025 target in the Plan.
“Choosing to compare the years 2019 and 2024 ignores the impact of Covid in 2020 and also 2021, a year which saw a significant additional Covid-related payment from the Government. In 2022 there was then a large reduction of €6.4m in HRI’s Government funding post-Covid. Covid obviously impacted the overall funding model hugely with racecourses losing their non media rights revenues.
“Despite this post-Covid €6.4m reduction in Government funding in 2022, HRI’s contribution to prize money reduced by only €1.3m and with the Horse & Greyhound Fund back in 2024 close to the 2021 level (€800,000 less), HRI’s contribution has returned to its previous level.
“Commercial income generated by racecourses achieved a record high figure in 2024, helped by a number of racecourses providing higher contributions to prize money as a result of their growing World Pool and international media rights revenues.
“There are a few other points worth noting: There are significant parameters around Government funding that dictate proportions that must be spent on capital versus revenue. It is simplistic to assume that a proportionate increase in Government funding can be pointed in its entirety at prize money.
“In the intervening years since 2019 there has been a sharp focus on increased integrity and equine safety and care standards, and that, together with an increase of circa 30 fixtures per year, means that integrity and raceday costs have increased by €3.2m, 25% from €12.6m in 2019 to €15.8m in 2024.
“At the same time, racecourse capital grants and industry assistance scheme payments have increased by €2.1m, 21% to €11.6m. This includes payments to the Irish Equine Centre, ITBA, RACE, Order of Malta, Blue Cross and Equuip.
“An IRE Bonus scheme to assist the breeding industry was launched in 2021 and involves an investment of €1.3m per annum.”
“Notwithstanding the fact that prize money levels and HRI’s contribution to these prize money levels will be at their highest ever level in 2025, and are ahead of the Strategic Plan projections, the above and other industry assistance programmes also require investment on an annual basis. Every HRI budget process is overseen by the HRI Board which is made up of nominees of industry stakeholder bodies.”