Hardening sand?

Adding to my sudden appearance to this site * (which is awesome because everyone's so helpful and know way more than me!), I just wondered if anyone had any ideas on this perhaps common but definitely annoying problem.

Sand. Loose sand. The type that swallows up horses hooves. Specifically, the dreaded Gnangara sand.

Unfortunately, my property is surrounded by it (minus the driveway and a limestone based area for the mechanics of the family - why do they get the good stuff??), which means that the paddock with the non existent horse in it is just an expanse of blackish loose sand.

Does anyone have any ideas or experiences in hardening the soil? My budget is a factor of course, but honestly I'd just like anyone's ideas. I thought perhaps mulching.

My riding "area" is also made of this sand, which can't be good for muscles.

Long story short: How can i solidify/compact/harden loose sand in order for it to be safe for paddock and easier on the horse to ride on?
(If you'd like to be extra helpful, if you have any ideas for growing grass for the paddock that would be great too!)

adding mulch will help build up the soil so you can grow nice grass however some soil structures are simply too rounded (as in the shape of the grains it is made up of)to hold up to work.
So to build up the soil lots and lots and lots of organic matter, horse poo, old hay, compost soil wetter and good seed.

Kykuyu is a good tuff grass that copes with a lot but you dont want a pasture solely of it as it binds the calcium and causes problems.

As for a work area I would be interested to see what would happen if you got old wool carpet lay that down then put sand over hte top. It would stop the sand digging up so much and would compost down over time.

We are on the same sand as you, i think that the only way forward is to plant Kykuyu as you need the stucture first, we planted sollens last year and now have a fantastic paddock full of clover,rye and Rhodes grass and yes the horse can gallop across without leaving hoof prints.. Also go on as many free pasture management courses as possible . My horse still comes in each night and gets the necessary feed and hay.