The article critiques the claiming system in the local horse racing industry, arguing that it was founded on flawed assumptions: that rapid market growth implied a lack of integrity, and that trading racehorses under this system could be economically viable. Historically, the industry thrived under a handicap system, with significant growth in race meetings, starters, and betting activity from the 1960s through the early 1990s. However, since the adoption of the claiming system, there has been a steady decline in race numbers, field sizes, and betting competitiveness, with a high prevalence of odds-on favourites negatively impacting profitability by at least 20%.

Despite evidence and financial losses spanning decades, stakeholders have resisted transitioning back to a handicap-based model, even though such a system has been successfully used elsewhere, like in the US since 2025. The article underscores the existential threat posed by maintaining the current claiming system, which fails to expand the market or ensure viability. It also highlights the misconception among owners that thoroughbred racing is a guaranteed profitable business, while the current promoting company, SVREL, has merely managed to survive financially without reversing the industry’s decline.