Racing industry set for overhaul

Racing Minister Winston Peters expects the industry to embrace recommendations for its biggest shake-up, with an Australian expert advising the number of racetracks be slashed and the TAB’s commercial activities being outsourced to an international operator.

The Deputy Prime Minister commissioned John Messara, who is a top administrator and stud owner in Australia, to review the New Zealand racing industry, which has been in an ailing state for the past decade.

‘‘I’ll hope they’ll react positively – but I’ve given them a fair chance in the next month to tell me how they feel,’’ Peters said after outlining the proposed changes in Hamilton last night.

‘‘I’ve got no interest in being the Minister of Racing presiding over a dead horse.

‘‘Mr Messara’s review delivers a blunt appraisal. He concludes the New Zealand’s racing industry is in a state of serious malaise, and requires urgent reform,’’ Peters said. ‘‘The review also warns thoroughbred horse racing is at a tipping point of irreparable damage,’’ he said.

‘‘It’s reform or die, there’s no off-course substitute,’’ he warned.

Messara said the the New Zealand racing industry was ‘‘deeply distressed’’ and farreaching reforms were needed to arrest its decline.

Prizemoney was the best lever for administrators to reinvigorate the industry, with the aim to double prizemoney to $100 million per annum.

‘‘In my view, stakes will have to double if we are to make New Zealand a global effective player again,’’ he said.

That was achievable if his reforms were implemented, Messara said.

Peters felt the industry was also capable of doubling its GDP.

‘‘The biggest series of recommendations here are where the owners get a fair go. The owners are hanging in here at a lousy 23 per cent and falling; in Australia it’s 49 per cent and rising.

‘‘We can turn this around very rapidly – it’ll be a thriving industry.

‘‘We’re not here to please the Racing Board, or another bunch of bureaucrats – we’re here to please the industry that pays the money, that shovels out the crap at 3 o’clock in the morning and takes all the risks. It needs to be turned around now and the benefits will start flowing quite quickly.’’