Deputy Premier and Minister for Racing MP Troy Grant, Racing NSW Chairman John Messara AM and chief executive Peter V'landys made the announcement from Dubbo, which includes increased funding for clubs and jockeys.

The funding comes from the proceeds of the tax parity legislation and will begin on July 1, 2016.

It will see the minimum prizemoney at provincial meetings rise by 23% per race from $22,000 to $27,000 for the 2016/17 season.

Kembla Grange is one of five provincial tracks in NSW where changes will occur.

Speaking to The Punt, Illawarra Turf Club chief executive Peter de Vries said the announcement would help all parts of the industry. 

“Any increase of funding to the people who supply the horses, train the horses and ride them, is always going to be greatly received,” he said.

"That is the thing about prizemoney. It spreads its way through the industry and everyone participates because the trainers and the jockeys get a percentage of a higher figure and the owners have some of their cost aside.”

Prizemoney for races at neighbouring Archer Racecourse in Nowra will also rise significantly. 

Country tracks will have an increase of 33% per race from $15,000 to $20,000.

A Country Showcase will also be introduced which sees approximately 40 meetings each year upgraded to carry a premium prizemoney of $30,000. 

In addition, Racing NSW will make a payment of $2 million per annum to assist race clubs around the state.

“There is going to be a distribution of funds to race clubs throughout NSW to help with the costs of running their organisations and to help with increases in costs,” de Vries said.

“If that flows through to the Illawarra Turf Club it will be greatly received.”

A further $1 million per annum will be committed to a new Traineeship and Apprenticeship Scheme for young participants in regional areas, with the first priority to employ apprentice track curators.

Jockeys will also receive a further $660,000 per annum in riding fees.

The moves come as part of the second and third year plans for the five-year phase-in of wagering tax parity in NSW.

The NSW Government agreed earlier this year that they would progressively reduce its share of the TAB gross wagering revenue to move in line with conditions in Victoria.