If you think the Northern Territory’s relationship with betting is a recent thing, think again. The Top End has been obsessed with racing since before air conditioning, literally.
The Northern Territory’s passion for racing stretches back to a time when the region’s major towns were known by different names, and race tracks were made of sand. In the 1870s, the first horse races in Palmerston (renamed Darwin in 1911) took place not on turf, but along the beach at Fannie Bay. By 1873, organised race meetings had moved inland to a site near where the Darwin Turf Club now stands. Meanwhile, Central Australia was also catching racing fever. In the town then known as Stuart, later renamed Alice Springs in 1933, Christmas races became a significant local event, eventually leading to the formation of the MacDonnell Ranges Turf Club. By 1882, the Northern Territory Racing Club had emerged as the region’s leading authority, with the first recorded running of what would become the Darwin Cup at Palmerston.
By 1911, Darwin had established itself as the leading racing club in the Northern Territory. However, both Darwin and Stuart (now Alice Springs) held principal club status under the Australian Conference of Principal Clubs, the national body now known as Racing Australia. The MacDonnell Ranges Turf Club, also referred to as the Stuart Turf Club, evolved with the town’s identity and was renamed the Alice Springs Race Club around 1927. Shortly after, during the brief period when Central Australia existed as a separate administrative territory (1927 to 1931), the club adopted a new name, the Central Australian Racing Club, reflecting both its location and its growing regional importance.
Fast forward to 1955, and the Darwin Turf Club was formally established, ushering in a new era for racing in the Top End. The following year marked the first official running of the race now known as the Darwin Cup under the club’s banner. Meanwhile, in Central Australia, the Central Australian Racing Club reverted to its former name, the Alice Springs Turf Club, in 1986. From that point through to 1995, Darwin and Alice Springs continued to operate as the two principal racing clubs in the Northern Territory, maintaining a strong regional presence and shaping the identity of Territory racing.
During the late 1990’s the Australian Racing Board reviewed how the states and territories were represented. Their decision was that each region could only have one official racing body at the national level. For the NT, that honour went to the Darwin Turf Club.
To keep things running smoothly down south, Darwin handed off some of its responsibilities to the Alice Springs Turf Club, giving it control over racing from Tennant Creek and below. Alice Springs could still oversee local clubs and race meetings, but it lost its voice at the national table.
By the mid 2000s, further structural reforms saw control of racing in the Northern Territory consolidated under a single governing body, Thoroughbred Racing NT. It marked the final chapter in a long and layered administrative evolution, but it also raised an important question of, why has the NT, with its small population and remote location, become the preferred base for so many of Australia’s corporate bookmakers?
The answer, unsurprisingly, lies in economics. For years, the Northern Territory has offered one of the most operator friendly environments in the country. Generous tax incentives, streamlined licensing processes, and supportive local governance created a haven for online wagering businesses. While these benefits don’t reduce liabilities like the Point of Consumption (POC) tax, they significantly lower other operating costs, giving bookmakers a distinct market advantage. However, this era of tax favoured operations may be drawing to a close. The NT government recently announced a major policy shift, from 1 July 2025, the annual tax cap for corporate bookmakers will be doubled, and a uniform 50% tax rate will apply to all online gambling licensees, where previously the tax rate was set by agreement between the government and each operator. Information from 2014/15 shows that revenues collected from Territory regulated gambling providers accounted for 10% of all revenue raised directly by the Northern Territory Government.
The afore mentioned Darwin Turf Club issued a statement last week stating “There are several tenancies and businesses operating at Darwin Turf Club (DTC) who relocated to Darwin exclusively because of the favourable tax regime implemented to attract them. This tax regime was the primary and sole reason for their move, with no other strategic considerations influencing their decision.”
Could this suggest a change to the end of the NT bookmaking era and potentially a flow on effect into the matched betting space? Only time will tell.
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