Paul Roy, Chairman of the British Horseracing Authority, said:

“Racing welcomes today’s decision by Secretary of State Jeremy Hunt as a major step in dealing with long-standing failings of the current system. It will halt the severe decline in the Levy, and the damage this is doing to the sport.

“The Coalition Government could not right all the wrongs in the current system with this decision, but they have addressed issues with traditional LBOs, and have signalled fundamental reform to come. The next stage has to deliver what is due from remote betting, particularly offshore operators and betting exchanges.

“The range this decision sets is therefore short of the full amount the entire betting industry should be contributing, but today’s announcement is an important shift in achieving Racing United’s goals.

“The rise in the headline rate is significant, as is the major reduction in the threshold level, and shows that nothing is set in stone.

“We believe that it is only through major reform that full and fair return, and the environment for real and constructive negotiation, on a level playing field, can be achieved. As we told the Secretary of State in November, we will devote our energies in the coming months to working with Government on this.”