A reform proposal from some of New Zealand racing’s most influential breeders, investors and industry operators has called for sweeping structural change across governance, funding, property and wagering. Stakeholders warn that the sector faces continued decline without urgent intervention.
The report, produced by the Tab New Zealand Racing Advisory Committee and chaired by Sir Peter Vela, argues that both thoroughbred and harness racing are operating under sustained structural pressure, with falling foal crops, shrinking participation and increasing financial strain across the industry.
The proposals call for modernising Tab NZ’s legislative framework to allow greater flexibility in wagering products, including online casino-style offerings and in-race betting, arguing that current restrictions are driving turnover to offshore operators.
The Committee also says the current model spreads decision-making across Tab NZ, New Zealand Thoroughbred Racing (NZTR), Harness Racing New Zealand, Racing NZ and individual clubs. It argues this results in duplicated administration, fragmented property decisions and a system in which local interests can block industry-wide action.
It proposes the creation of a single governing body responsible for industry strategy, funding, the racing calendar, programming and marketing.
The Committee also proposes establishing a Strategic Racing Property Vehicle to pool racecourses, training centres and other racing assets under professional management.
In addition, the report recommends that the Racing Integrity Board be funded by the Crown rather than by the industry it regulates to strengthen its independence.
The report estimates a combined structural deficit for thoroughbred and harness racing of more than NZ$50m (US$28.2m) annually and highlights rising administrative costs, fragmented governance and underutilised venue assets as key constraints on long-term sustainability.
The thoroughbred foal crop has fallen 22% over the past decade, while more than 500 thoroughbred breeders have exited the industry since 2015. Harness racing’s foal crop has fallen 44% over the same period.
In March, Tab offered the government up to NZ$150m for an online casino licence, but the proposal was rejected.
The Tab, a statutory entity, is prohibited from offering online casino gambling according to current laws
