Daniel Hartmann
Betfred will pull its backing from all five British Classics, with the company pointing the finger at the tax increase set out in last week's Budget. The Independent reported the decision on November 5, 2026. The races affected are the 1000 and 2000 Guineas at Newmarket, the Derby and Oaks at Epsom, and the St Leger at Doncaster.
A spokesperson for the betting site said renewing the sponsorship for another three years had been a hard call to decline.
The statement cited repeated tax hikes on the betting sector and singled out the rise in machine games duty (MGD) in the latest Budget. According to the company, the combined burden of government policy left it with no alternative.
A Warning That Became A Decision
Before the Budget, Betfred chairman and co-founder Fred Done had said publicly that the firm would abandon a verbal deal to keep its Classics partnerships with the Jockey Club and Arena Racing Company (Arc) if the chancellor lifted MGD. He got his answer: the Racing Post reported that Chancellor John Healey raised the rate from 20% to 25%.
That fell short of the 40% some feared, as our report on the Budget's move to 25% MGD explains. Even so, Betfred's own modelling, cited by the Racing Post, projected that 284 of its 1,094 remaining shops would stop turning a profit at the higher rate, putting 1,420 jobs at risk. Other outlets put the company's warning at more than 1,000 jobs at risk in its shops alone.
Betfred picked up the Derby, Oaks and St Leger in 2023. It then added the Newmarket Guineas from 2025, becoming the first brand to sponsor all five Classics. The company had also dangled a £2 million bonus for any horse completing the Triple Crown.
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How Racing Reacted
The Jockey Club called the news disappointing while saying it understood why Betfred had reached its decision. Amy Starkey, managing director of the Jockey Club's London hub, which runs Epsom, said the choice had been a difficult one for the bookmaker and called it a passionate backer of the sport.
She said the Jockey Club hoped to team up with Betfred again somewhere down the line, and that talks were already under way with a number of possible partners for the Derby and the Guineas festival. Further details are expected.
Arc told the Racing Post the decision came as no surprise after the Budget, but said it too hoped for another partnership with Betfred in future.
Betfred has been cutting back on other fronts as well. Our earlier story on the company ending its rugby league sponsorship also pointed to tax rises, and separate figures showed bookmaker backing of British racing dropped 17% over a year.
What It Means For Racing Fans
The Classics stay among the standout fixtures on the British racing calendar. The races will be marketed under new partners only after the Jockey Club and Arc name them. Fans can check current markets and offers on our horse racing betting sites page.
Betfred's statement dealt only with the Classics renewal and said nothing about its other sponsorship deals. No replacement title sponsors for the races have been announced.
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Source: gambling.com
