What is Betfair SP (BSP)?

How Betfair SP Works

At the off, Betfair runs an automated process that takes all bets placed specifically as 'SP bets' — where the punter has requested BSP rather than a fixed price — alongside any unmatched bets still sitting in the market. The algorithm finds the price at which these orders balance: the point where the volume of SP back bets equals the volume of SP lay bets. This equilibrium price becomes the Betfair Starting Price for that runner.

Unlike a fixed-odds bet struck at, say, 5.0 (4/1), a BSP bet gives you no certainty about the price until the race starts. The resulting BSP can be higher or lower than you might have obtained by taking a fixed price earlier. Because the exchange has no traditional bookmaker margin built in — only a commission charge on net winnings, which varies by user but is typically around 2–5% — BSP is often larger than the bookmaker SP, particularly for longer-priced runners where bookmaker margins bite hardest. Commission rates and structures can vary; always check your personal Betfair account for the rate that applies to you.

A Worked Example

Imagine a horse runs at BSP 8.0 (7/1) and you had placed a £10 SP back bet. Your gross return before commission would be £10 × 8.0 = £80 (including your £10 stake), giving a gross profit of £70. If Betfair applies a 5% commission rate to your net profit, you pay £3.50 in commission, leaving a net profit of £66.50 and total returns of £76.50. Had you taken a bookmaker SP of 6/1 (7.0) on the same horse, your profit would have been £60 with no commission deducted — so the comparison depends entirely on the margin between the BSP and the bookmaker SP, and the commission rate on your account.

This illustrates why a direct price comparison requires careful arithmetic. A BSP of 8.0 after 5% commission yields a net price roughly equivalent to 7.65 in decimal terms, which is still better than 7.0. However, on a short-priced favourite where BSP and bookmaker SP are close, commission can tip the balance the other way. There is no universal rule; the outcome varies race by race and runner by runner.

Why BSP Matters When Judging or Following a Tipster

When assessing a tipster's track record, the price used to calculate profit and loss matters enormously. A tipster who records results at BSP is using a price that any follower on Betfair could realistically have obtained, provided they placed their bet before the off at SP. This makes BSP one of the more reproducible benchmarks available, unlike advised odds that may be available only briefly at a single bookmaker. At TipsterCheck, we consider BSP a credible and verifiable price point for proofing purposes in horse racing.

Be cautious, however, about tipsters who blend prices — recording some bets at BSP and others at bookmaker early prices or board prices without clearly flagging each. This can flatter overall results if the better-priced bets are selectively attributed. Also remember that commission reduces net yield, so a tipster's stated yield at BSP gross is always slightly higher than what a follower actually banks. Always check whether a tipster's stated returns are gross or net of commission before subscribing.

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