§ I now come to a proposal to benefit both sport and the arts. Last year, my right hon. Friend the Prime Minster reduced pool betting duty, on the condition that the benefit was passed to the Football Trust. Following the success of that measure, a proposal has been put to me by one of the pools promoters for a new foundation for both sport and the arts.
§ League football benefited from last year's Budget measure, and racing benefits from the horse racing betting levy. This new foundation is intended to provide assistance to other sports and to the arts. It will be financed by contributions collected by the pools promoters along with the weekly pools betting stakes, and should raise some £40 million a year.
§ On the understanding that all the main pools companies agree to participate and that the full amount would be passed on to a new trust established on satisfactory terms, I would be willing to reduce pool betting duty a final time—from 40 per cent. to 37½ per cent. These arrangements would be subject to a review in four years' time. They should make a further £20 million a year available—giving £60 million a year in total—to the foundation in order to support both sport and the arts.