France Galop's administrative council has formally adopted a budget for 2025 which will see the sport run a €15 million deficit.
Last month the sport faced down what many considered an existential threat in the shape of a government proposal to raise duty on betting and, while that issue has at least temporarily receded, receipts to racing and trotting from former monopoly gambling operator Paris Mutuel Urbain are set to undershoot their target by around €18m.
Addressing the council session with a frank summary of the current situation, France Galop president Guillaume de Saint-Seine left little doubt that he is dissatisfied with the performance of the PMU, but stressed the governing body would maintain its prize money commitments as well as finance for its ambitious strategic plan.
However, a €40 million project to modernize Auteuil racecourse has been deferred while more cost-effective options are explored.
Saint-Seine said the 2025 budget embraced "a voluntary vision allied to major investment: to maintain prize money at the same levels as in 2024".
He added: "We have also decided to pursue the rollout of the 'Ambition 2030' strategic plan, which aims to ensure the visibility of the sport while reinforcing solid economic foundations for its future."
Saint-Seine added: "We want to launch a virtuous circle whereby racing regains its place in the hearts of the French people, leading to a return of the upward trend in betting revenues and then future increases in prize money."
Saint-Seine did not spare his criticism of the PMU—of which France Galop is a major shareholder alongside the trotting authorities—and announced that a full audit of the operator would take place during the first quarter of next year, designed to examine the reasons for the downturn in betting turnover. France Galop will also seek to make savings in its own operational budget.
"After 12 months sitting on the PMU's executive council, I believe we're not playing our full role as a shareholder," said Saint-Seine. "We're light years away from the way a private equity fund is managed with active shareholders, even though we derive 90% of our revenue from it."
After listing what he considered to be strategic errors in terms of marketing and the offer to PMU customers, Saint-Seine said the audit would aim to get to the bottom of why the PMU's 2024 gambling turnover has fallen by almost €100 million against budget, leading to a loss of around €18 million in contributions to racing and trotting.
On the subject of Auteuil, Saint-Seine said: "Taking account of the new economic and financial conditions, it would not be serious to invest the major sums of money we previously envisaged."
Saint-Seine committed to exploring new options for redeveloping the main grandstand in the first three months of 2025 while restating France Galop's commitment to "anchor the future of jump racing in Paris in a sustainable and stable fashion".
