It could have been a disaster but instead turned into one of the most triumphant meetings in British jump racing history.

The decision to cancel a full day of racing at last year's Cheltenham Festival as a result of the terrible weather conditions would have wrecked many smaller events.

But it is testament to the growing power and influence of the jump racing plus the impact of West-trained Denman meant that this year's festival turned out to be one of the most memorable and successful in living memory.

There now seems to be a consensus we are heading into a lengthy and damaging recession and many sectors of the economy are already starting to suffer.

But according to the latest industry review, jump racing is going from strength to strength and Cheltenham Racecourse is at the heart of the success story.

According to the report racecourse profits have leapt by almost £10 million to £41.8m last year at a time when most businesses have seen their takings badly hit by the downturn.

According to Nic Coward – the chief executive of the British Horseracing Authority – things can only get better.

He said: "Jump racing is riding on a wave of success, with the emergence of stars such as Denman and Master Minded last season

"A period of substantial and sustained investment by racecourses ensures that the British race-goer enjoys first class facilities in which to experience the sport."

Last year around seven million punters flocked to racecourses with Cheltenham more than twice the size of its nearest competitor Aintree, the North West home of the Grand National.

Thousands of people work in the industry, with many people based in stables in and around Cheltenham and the South West.

These include feed merchants, farriers, bloodstock agents, trainers and staff at racecourses.

And even though people are being forced to look to their budgets there is no sign of the bookies suffering as yet. The three major players Ladbrokes, William Hill and Paddy Power are now all Footsie companies. The boom in internet betting has also seen a massive growth over the last 12 months.

This week Ladbrokes announced its profits had risen 10 per cent despite a recent run of poor football and horse racing results for the bookmaker, including the Denman win at Cheltenham.

Chief executive Chris Bell said: "Although a run of poor football and horse racing results at the end of the period has affected performance, the group remains within the market expectation range for 2008."

Even though they have all diversified to pick up revenue from other sports such as football the core betting business is still based around the racecourse.

Profitability is also up at racecourses according to the latest figures with Ascot doing particularly well making almost £12m.