POLITICAL RIP-OFF OVER SALE OF THE TOTE 2000 - 2011

POLITICAL RIP-OFF OVER SALE OF THE TOTE

RACING POST REPORT WEDNESDAY NOVEMBER 23rd 2011 

JON LEES "AND THE WAIT GOES ON .... Racing has yet to see any of the £90m it was promised from tote sale. It could be as late as 2020 before the last instalment is finally
delivered. State-aid rules mean charities will be ones to benefit rather than prize-money."
 

"ROY STILL IN THE DARK OVER HOW RACING CAN USE TOTE PROCEEDS"

NEWS

TOTE SALE TIMELINE SINCE 2000
"Feb 2000 Labour government announces intention to sell Tote to racing.

"Late 2004 Bill passed to allow sale of Tote to racing.

"Sep 2006 Racing consortium's initial offer of £400 million is rejected.

"Mar 2008 Government commitment 'to make available to racing half the

net proceeds of any open market sale of the Tote."

"Oct 2009 Surprise announcement by prime minister Gordon Brown that Tote would figure in sale of government assets, forecast to raise £16 billion over next two years. Government sets March 2011 as completion date for sale.

"Sep 2010 Minister for gambling John Penrose says government now preparing to launch 'an open market process' to resolve future of Tote in late autumn and will update House of Commons "early in the new year."

"Jan 31, 2011 Government says 18 indicative proposals received, and 'selected number of parties' invited to advance to next stage.

"Mar 1, 2011 Penrose (below) tells Commons. "Given the current state of the national finances, I am afraid it will be extremely hard, or completely impossible , in my view, to argue that we should do more than a 50-50 split (of net proceeds between government and racing)."

"April 11, 2011 Race whittled down to two runners Betfred and Sports Investment Partners.

"June 3, 2011 Betfred win bid; £265m headline value, £180m net to be split 50-59 between Treasury and racing.

"Mar 2012 First instalment of the proceeds from the sale of the Tote promised to racing expected to have been paid

"2020 Final instalment of racing's £90m to be paid."

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