INTRODUCTION AND SUMMARY

1.1 This submission on the Racing Industry (Closure of Greyhound Racing Industry) Amendment Bill is made by The New Zealand Initiative (the Initiative), a Wellington-based think tank supported primarily by major New Zealand businesses. In combination, our members employ more than 150,000 people.

1.2 The Initiative undertakes research that contributes to developing sound public policies in New Zealand. We advocate for the creation of a competitive, open and dynamic economy and a free, prosperous, fair and cohesive society.

1.3 The Initiative’s members span the breadth of the New Zealand economy. The views expressed in this submission are those of the author rather than the New Zealand Initiative’s members.

1.4 The government wishes to ban greyhound racing. But the Bill does not just end greyhound racing. It also closes existing greyhound racing clubs, which could otherwise have continued as voluntary associations of enthusiasts who enjoy watching Australian races. It expropriates the assets of those clubs and of Greyhound Racing New Zealand, folding them into a new Greyhound Racing Transition Agency established in part to receive the assets of those clubs. The Transition Agency will also assist in rehoming racing dogs. Currently, the to-be-abolished clubs, as well as Greyhound Racing New Zealand and dedicated rehoming organisations, perform this rehoming function.

1.5 Racing is only to be banned in New Zealand. Some New Zealand punters are likely to bet on Australian or other races via offshore providers that are not legally authorised to take bets in New Zealand. If overseas races are subject to less stringent animal welfare guidelines than New Zealand races, overall welfare effects for animals are ambiguous.

1.6 The Cabinet Paper also notes that, at the conclusion of the Transition Agency’s operations, any residual assets would transfer to the other racing codes (thoroughbred and harness).

1.7 If animal welfare considerations mean that greyhound racing should be banned, the government should buy out participants in the industry as part of the bargain. Residual assets of the clubs established to facilitate greyhound racing should be used to compensate industry participants harmed by the ban rather than being transferred to other codes.