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Caulfield Cup Day at Caulfield Racecourse on October 19, 2024 in Caulfield, Australia. (Photo by David Geraghty/Racing Photos)

Caulfield Cup Day at Caulfield Racecourse on October 19, 2024 in Caulfield, Australia. (Photo by David Geraghty/Racing Photos)

Demons’ Caulfield dream likely rests with voters

As the Melbourne Demons push to relocate to Caulfield Racecourse, political uncertainty is emerging as the biggest obstacle, with the November election potentially deciding the project’s fate.

Paul Tatnell by Paul Tatnell
July 23, 2026
in Analysis
Reading Time: 4 mins read
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The future of the Caulfield Racecourse – and whether racing might face a forced closure – now seems increasingly likely to be dictated by politics.

Or, more accurately, voters at November’s state election.

Betsy can reveal the Melbourne Football Club’s bold ambition to move into Caulfield Racecourse, despite racing’s objections, looks increasingly likely to rely on a struggling Labor government somehow winning re-election.

And as a publication that’s heavy on betting odds, it seems the Demons could be in strife, with the current Labor government now a $3.15 chance with TAB, clear outsiders to retain government in November.

Based on a recent speech to Parliament by Liberal MP David Southwick, the Demons’ bid does not appear to have bipartisan support.

Southwick is not only the local MP for the electorate that includes Caulfield Racecourse, but if his party wins government, as the bookmakers expect, he’ll likely be a senior minister. The Liberals are now $1.48 favourites with TAB.

His comments on Caulfield’s future are significant, seemingly backing in racing’s interests in a political brawl involving two big Melbourne institutions.

The Demons, of course, want to build a $100 million-plus training facility at Caulfield Racecourse, a move the Melbourne Racing Club adamantly opposes. Many within Racing Victoria are also against the proposal.

Artist impressions of the new Melbourne complex

 

The Demons’ political headache

Southwick recently told Parliament he wanted to give “a shout-out to the Melbourne Racing Club and the racecourse which I have in Caulfield – very, very important in terms of what that provides and very key in terms of what it provides.”

Southwick accused the current government of “not being properly consulted about the Melbourne Football Club coming to Caulfield and how that would affect the racing industry more generally.”

“The racing industry has suggested that the Melbourne Football Club coming to Caulfield could shut down the industry for 12 to 18 months. What does that mean for racing, which is all about economic activity and jobs, which this government proclaims is so important?” he said.

Member for Caulfield David Southwick at the Spring Street Racing at Parliament House on September 09, 2025 in Melbourne, Australia. (Photo by Jay Town/Racing Photos)

Southwick then gave the Demons a whack for their apparent lack of money to pay for the project.

‘’Yet on the other side they are prepared to shut down one of the key racetracks in this state, at Caulfield, because they want to attract the Melbourne Football Club – mind you, with no dough; there is no money on the table,’’ he said.

‘’It is just so the Minister for Sport and Major Events, the member for Oakleigh, can cut a ribbon and say, ‘Look at this. We’re going to allow Melbourne Football Club to locate themselves to Caulfield,’ shutting down racing for 12 to 18 months.’’

The tunnel to a political brawl

Southwick’s comments regarding racing closing for at least a year surrounds the Demons’ plan to construct a tunnel underneath the race track from a proposed administration building to the football ovals, a project the MRC claims would force Caulfield Racecourse to close for up to a year.

If correct, the financial consequences for both the club and the broader racing industry would be significant.

How would the MRC explain to its members and major sponsors like Sportsbet that it had no choice but to close its premier venue? And how would Racing Victoria absorb the financial hit if wagering turnover slumped because racing was shifted to an inferior track?

But is it a price to pay if the Demons’ solution open up the Caulfield facility to communities and sporting clubs? And doesn’t one of our oldest clubs and generator of millions of dollars for the Victorian economy need a leg-up?

The football club says construction of the tunnel would take far less time, potentially as little as a month. The MRC doesn’t accept that assessment, however, and the lines in the sand have well and truly been drawn. There is no love lost between the parties.

Political battle lines drawn

The football club now seemingly has all its chips on Labor getting back in when it comes to their lobbying behind the scenes. They have engaged FMRS – a well regarded agency who, among other things, work behind the scenes to advocate their clients’ position to government.

The firm’s appointment came at another tumultuous time for the football club who had just sacked current Racing Victoria board member Paul Guerra, who was the club’s CEO.

One complicating factor for the Demons, Betsy is told, is FMRS was founded by former senior Labor staffers with strong contacts and relationships with the current Labor government going back to the Dan Andrews era.

So if Southwick and his party win, some within racing believe the Demons are potentially politically exposed given the Liberals are unlikely to warm to a firm with so many links to their enemies.

Regardless, it has been money well spent by the Demons – the football club were long odds and drifting about calling Caulfield home until FMRS were engaged.

The Age also recently suggested the Federal Labor government would potentially throw in some cash, which given the current economic conditions, raised eyebrows in some quarters.

Artist impressions of the new Melbourne complex

Now it’s up to the punters … and voters

That’s not to say the MRC hasn’t secured key meetings within State Parliament in recent months, they have. Racing Victoria’s executive Peter Betson is also understood to have been working behind the scenes on behalf of the racing industry.

So while the Demons undoubtedly have made progress in securing Caulfield over the past 8 weeks, there is a growing view that if Labor lose, the Demons could be in strife, with Southwick and his party being no fans of a professional football club moving to Caulfield under their current plans.

Southwick’s speech actually highlights what many believe is the Demons’ biggest hurdle – the need for any big move to be focused on the community.

The smart money, too, is the next time the Demons present their Caulfield plans, it’ll involve a greater focus on community assets as a way to win favour with government and locals.

We’ve previously reported the most likely outcome is the state government kicks the problem past the election. There are few votes in handing a professional football club tens of millions of dollars for a training facility, which they need, by all accounts.

Who can forget this now legendary quote from Caulfield Trust chairman Sam Almaliki, who has been managing the process.

“The truth is, they’ve tried to build the Taj Mahal, and so far they’ve only got budget for a granny flat.”

While there is still momentum for the Demons to get a deal done, and the neutral observers believe it is still entirely possible, it could be the Victorian voters who decide the fate of Caulfield and whether Australia’s oldest football club can call it home.

Tags: Caulfield RacecourseDavid SouthwickEditors PickMelbourne Football ClubMelbourne Racing ClubRacing VictoriaVictorian Election
Paul Tatnell

Paul Tatnell

Betsy co-founder Paul Tatnell is an award-winning journalist with senior editorial experience across major Australian media and racing.

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