Betfair to offer NRL Markets at an increased MBR

We have signed an agreement with the NRL and will offer NRL markets starting this week at, unfortunately, an increased MBR.

Since late last year, Betfair has been liaising with the NRL in relation to a new Product Fee Agreement. After months of discussions, we have signed an agreement with the NRL that will allow us to offer their product for the remainder of the 2020 NRL Season.

Unfortunately, due to the new product fee that has been imposed by the NRL, our offering will come with an increased Market Base Rate (MBR).

For the remainder of the 2020 season, all NRL markets will be offered with a 10% MBR. This increase, from a 6% MBR in 2019, was unavoidable.

If the MBR remained at 6%, the NRL would take over two-thirds of Betfair’s revenue earned from rugby league betting markets in product fees.

When you add on operating costs and relevant Federal/State taxes (including point of consumption taxes), offering markets on NRL events would not be financially viable. We have therefore made the difficult decision to increase the MBR to 10%.

In comparison, customers should be aware that our MBR on the 2020 AFL season is 2.5%. The NRL will be four times more expensive.

Most sports on the Betfair Exchange have an MBR of 5%, equating to $1.95 betting lines.

While we are disappointed that a change to a 10% MBR has become necessary, we do congratulate the NRL for the work it has undertaken in getting the NRL season up and running again.