Each-Way Betting Explained

An each-way bet is when you place one bet consisting of two parts; a win bet and a place bet. If the horse wins, both parts of the bet are settled but if placing, the win part loses and only the place part is paid out as a winner. Each-way betting is not insurance and it is not a cheaper way to bet — it’s a second stake on a separate outcome.

How an each-way bet settles

Most betting novices are unaware that if the horse you are backing is short enough odds, the returns from the place part of the bet aren’t enough to cover the loss of the win bet. This is why those who know what they are doing steer clear of short prices when betting each-way.

Below is an example of the possible outcomes for a £10 each-way bet on a 12/1 shot in a 12-runner handicap at one-quarter the odds, with three places on offer.

Place terms: How many places and what fractions?

More runners create more possible outcomes, which is why bookmakers offer punters better value for each-way betting. Handicaps are designed to give every horse an equal chance of winning, making big-field handicaps unpredictable and therefore less of a risk for bookies.

Terms are fixed when the bet is placed

Once you place an each-way bet, the odds you take are fixed and your win and place bets will be settled using that price. Even if there’s a late non-runner which has a significant impact on the market, your bet price stays the same but there might be a Rule 4 deduction. Some bookmakers offer best price guaranteed, ensuring you will get the bigger price if the odds on your selection are greater at SP (Starting Price) than when you struck the bet. This varies from firm to firm, so is worth checking before you bet. 

Working out your place returns

The place part of your bet is a quarter or a fifth of the horse’s odds, therefore that is essentially the price which the place part of the bet would pay out at. Below is a table of examples to highlight this and show where the value lies in each-way betting.

When betting each-way is the wrong call

Each-way betting becomes better value at bigger prices, with more places on offer. Therefore it’s not advised to be backing horses each-way at short prices, because the diminishing returns can result in a loss, even though the bet landed.

For example, a horse priced at 5/2 is terrible each-way value because the place odds would be 1/2. A £10 each-way bet would return £15 if the horse places but doesn’t win and the place profit fails to cover the loss of the win bet.

Ideally double-figure prices are the way to go and always be on the look out for extra places when they are on offer in some of the big handicaps across the year. Obviously there are risks attached, however, as horses with big odds presumably have reduced chances.

Dead heats and Rule 4s

Dead heat: The odds are unaffected by a dead heat but your stake will be split by the number of horses dead-heating for that position. So if two horses dead-heat for first, your win bet stake would be halved, while the odds would remain unaltered.

Rule 4: If a horse is withdrawn after the final declarations have been made and the race market has been formed, there might be a Rule 4 deduction of pence per pound from the winnings and the size of the deduction depends on how prominent the non-runner was in the betting. 

E.g. The big favourite was a NR after unseating his jockey going down to the start and there’s a 50p Rule 4 deduction. For every pound of profit on winning bets, 50p is deducted. 

Extra places

Most bookmakers will offer extra places in major races, such as Cheltenham Festival and Royal Ascot handicaps, or the Grand National. Whilst this seems very positive on the surface, the drawback is that you tend to get slightly shorter odds and less value. Weighing up if the extra places are better than the extra value is important when betting each-way.

Each-way multiples

Each-way multiples, like doubles and accumulators, essentially settle as two separate accumulators; win and place. If you back two 10/1 shots in a £5 each-way double (â…• odds) and both win, the profit is £640 and the place only returns are £45.

FAQs