Bet365

News that Bet365 toppled Betfair on Oddschecker over Cheltenham is likely to raise eyebrows in various places for various reasons.

Not least of the points that should be taken out from it, though, is that it ought to put to rest forever the absurd and oft-repeated notion that Betfair is the cause of falling margin in racing.

Not that falling margin is a bad thing, of course, as I have often suggested. With betting so often demonstrated by economists to be an elastic product, a fall in margin leads to a commensurate increase in turnover; and in a world where racing is paid on the basis of gross profit (the product of the two), that means the two things balance each other out (that is, 10% of 100 is the same as 5% of 200).

But the reason for falling margin, as I have said ad nauseam over the last few years, is not just Betfair, but competition. And while I am delighted to accept that Betfair is an extremely competitive operator, it isn't the only one.

The internet has made lots of operators more competitive, which would be seen as a good thing in any other industry but for some reason is a cause for a great deal of bleating in ours. I wonder whether the next time we hear a racing industry rep or a William Hill executive complaining about the pressure on their margins, we also hear them say, "it's all because of those beastly people at bet365".

I won't be holding my breath.