What is Lay Betting?
Lay betting is fundamentally different from traditional betting. When you place a back bet, you're betting on something to happen. When you lay, you're betting against it happening. In horse racing terms, you're betting that a particular horse will NOT win the race.
This approach opens up entirely new strategic possibilities. Instead of trying to pick winners, you can identify horses that are overvalued in the betting markets – horses whose odds suggest they have a better chance of winning than they actually do.
How Does It Work?
When you lay a bet on a betting exchange like Betfair, you're essentially acting as the bookmaker. Other bettors are backing the horse to win, and you're offering them odds. If the horse loses (which happens in most races), you win their stake. If the horse wins, you pay out based on the odds.
Example
Understanding Liability
Liability is the key concept that differentiates lay betting from back betting. Your liability is the maximum amount you could lose on a single bet. It's calculated as:
This means laying at lower odds carries less risk. A lay bet at 2.0 has a maximum liability equal to the stake, while a lay bet at 10.0 has a liability nine times the stake. This is why our systems focus on odds ranges that balance opportunity with controlled risk.
Why Use Lay Betting?
There are several advantages to lay betting for disciplined traders:
Statistical edge: In most horse races, favorites win less often than their odds suggest. A horse at 2.0 (50% implied probability) might only win 40% of the time in reality.
More winning bets: Since most horses don't win (especially in larger fields), lay betting systems typically have higher strike rates than back betting systems.
Controlled risk: By focusing on specific odds ranges and using level staking, you can manage your maximum liability and plan your bankroll accordingly.
Market inefficiencies: Betting markets aren't perfect. Public sentiment, media hype, and emotional betting create opportunities where favorites are overvalued.
Managing Your Lay Betting Bank
Successful lay betting requires proper bankroll management. You need to account for variance and drawdowns. Even with a profitable system, you'll experience losing runs.
We recommend maintaining a bank of at least 100 points for our systems. This provides sufficient buffer to weather losing streaks without risking your entire capital. With level staking, you'll always know your maximum liability per bet.
Important Note
Getting Started
To start lay betting, you'll need an account with a betting exchange like Betfair. Traditional bookmakers don't offer lay betting – you need a platform where bettors trade directly with each other.
Once you're set up, our systems provide daily selections with clear staking instructions. All bets are placed at BSP (Betfair Starting Price) to ensure realistic, achievable odds. This removes the need for manual odds monitoring and ensures our published results match what you can achieve.
Next Steps
Now that you understand the fundamentals of lay betting, explore these related articles to deepen your knowledge:
Betfair Starting Price (BSP) Explained
Portfolio Risk Management
Managing Drawdowns