Stakes set to be cut by $3.26 million for 2026-27 as HRNZ initiates raft of belt-tightening

Stakes are set to be cut by $3.26 million along with a raft of other changes as Harness Racing New Zealand grapples with a near 10% reduction in TAB funding for the new season.

In a draft Statement Of Intent for 2027 to 2029, released by HRNZ, chairman Grant Jarrold outlines a number of “difficult but necessary” decisions to ensure the long-term sustainability of the sport.

The proposed changes for the 2026-2027 season include:

• Prize money dropping 7% from $45.76 million to $42.5 million, with a greater proportion of cuts at the high end, including the New Zealand Trotting Cup falling from $1 million to $800,000.
• The abandonment of slot races, including the high profile Cambridge features, the $1 million The Race and the $530,000 The Trot. These will be replaced by two $100,000 features. The $500,000 cup week slot races for three-year-olds, the Ascent and Velocity, have also been canned.
• A reduction in the number of meetings - from 288 to 274 - with 135 fewer races.
• A near $1 million cut in club and meeting funding and
• Belt tightening of 18.75% at HRNZ, where administration costs blew out from $6.55 million in 2025 to $8.05 million in 2026.

Jarrold says while HRNZ has invested heavily in the last two years on owner initiatives, participant engagement and the quality of the racing product, spending $3.62 million in 2026, the funding landscape has now changed significantly.

“While we sought additional investment from TABNZ to continue the momentum that funding has not been made available.”

It is forecast HRNZ’s 2026 revenue from TABNZ and Entain will amount to $64.91 million but this will drop to $58.53 million in 2027, down 9.8%, and $57.6 million in 2028.

HRNZ now has to transition from investment to sustainability, says Jarrold, with industry initiatives set to be cut by just over $1 million in 2027.

Stakes will be cut across the national racing programme but grassroots racing has been protected wherever practicable, with the $8000 minimum stakes policy maintained.

The Group and Feature race calendar has been reviewed to align expenditure with available funding while maintaining the standing and integrity of the sport’s premier races.

Proposed changes include:

* All 12 Listed races at Ashburton’s Harness 5000 meeting on December 6 will drop from $60,000 to $40,000.

* The Auckland Trotting Cup on December 31 will be cut from $250,000 to $200,000.

* Stakes for Auckland’s 10 Golden Gait races, which were run for $100,000 in the first year and dropped to $50,000 last year, have yet to be confirmed for New Year’s Eve.

* The NZ Pacing Free-for-all at Addington on November 13 drops from $200,000 to $150,000.

* The Rowe Cup at Auckland on April 30 drops from $200,000 to $150,000.

* The Kaikoura Cup on November 2 drops from $100,000 to $60,000.

HRNZ’s financial statement records its equity as of July 31 as $28.45 million, which includes a surplus venues reserve of $13.07 million.

Its 2026 expenses have been split:

• 67.9% on stakes funding, down from 70.9% in 2025
• 13% on club and meeting funding
• 1.8% on other club and kindred body support
• 5.4% on industry initiatives and
• 11.9% on administration and operations expenses

HRNZ will now consult with clubs and industry stakeholders before finalising the Statement of Intent and submitting it to the Minister for Racing by September 11. That process will occur alongside continuing discussions with New Zealand Thoroughbred Racing and TABNZ on the final funding structure that will underpin the final plan.