Consultation begins to get Racing Queensland back on track

Action must be taken to stem mounting and unsustainable financial losses at Racing Queensland, Minister for Sport and Racing Bill Byrne said today.

Minister Byrne and Racing Queensland’s Acting CEO Ian Hall today released details of the scale of the task facing the industry and declared there would be broad consultation on Racing Queensland’s plan to secure a sustainable future.

In figures released today, Racing Queensland posted a $12 million loss in 2014-15 and was forecasting a deficit of $28 million in 2015-16.

Minister Byrne said it was clearly time to act.

“There are some tough realities to face and some tough decisions to be made,” Minister Byrne said.

“We all want to see racing thrive and grow in this state, but Racing Queensland can’t do that if it goes on haemorrhaging funds.

“The problem is stark – revenue assumptions from the past were wrong. The finances of Racing Queensland had a foundation built on rivers of gold that didn’t exist.

“Finding solutions will take time and it will require robust and realistic discussions – it will be difficult but it has to be done. We will also be consulting with staff from Racing Queensland, the Office of Racing, as well as union representatives.”

“Our focus now is on the future and what can be achieved if all stakeholders work together. There is no other choice. Laying the facts on the table is the first step.

“If we commit to this process we can ensure a sustainable future for Racing Queensland and help return public confidence to what has always been a proud, vibrant and economically important industry for Queensland.”

Racing Queensland Acting CEO, Ian Hall said that consultation would soon begin with industry.

“This is untenable for the viability of Racing Queensland and the Queensland racing industry as a whole,” Mr Hall said.

“We have no intention of facing further losses. All participants have a role and a responsibility to work towards returning Racing Queensland to profit and industry so we can continue to invest and grow the industry.

“Since the end of the financial year, we’ve worked hard to make efficiencies. We have found savings of $6 million, but that is clearly not enough.

“Over the past five years, revenue has increased by only 20%, while direct operating expenditure has increased by 32%.

“It is important that all stakeholders are fully aware of the financial position of Racing Queensland and the key issues that need to be addressed.

“We’ll be seeking input from the racing industry regarding making immediate savings to ensure we get racing back on a sustainable footing for the long term.

“To do this, we’ll be undertaking extensive consultation over the next two months to make sure the views of all stakeholders are heard – and that includes clubs, trainers, jockeys, drivers, owners and breeders.

“There will also be opportunities for individuals to have their say.”

Media Contact: Michelle Connolly: 0478 325 738