Steep Increases For Online Gambling Tax To Address 'Greatest Levels

The Chancellor has revealed a steep boost in online gambling tax associated with the "greatest levels of damage" throughout the sector.


Rachel Reeves said she was reforming gaming taxes in action to the increase in online gambling, announcing an increase in remote video gaming duty from 21% to 40% and on online wagering from 15% to 25%.


There are no changes for in-person gaming or horse racing, while bingo duty is being abolished totally from April next year.


Some parts of the gambling market, such as racecourses and bingo halls, make a cultural contribution to our country. This is not the case, however, for online slots and other remote video gaming


Dame Meg Hillier, Treasury Select Committee


The Chancellor stated: "Remote video gaming is related to the highest levels of harm therefore I am increasing remote video gaming responsibility from 21% to 40%, with responsibility on online wagering increasing from 15% to 25%.


"I am making no change to the taxes on in-person gaming or horse racing and I am eliminating bingo responsibility totally from April 2026. Taken together, my reforms to betting tax will raise over ₤ 1 billion each year by 2031."


The reforms are expected to raise an approximated ₤ 1.1 billion for the Government by 2029-30.


Betting and Gaming Council primary executive Grainne Hurst said: "Massive tax boosts for online wagering and video gaming revealed in the Budget make them amongst the greatest worldwide, and are a devastating hammer blow to 10s of thousands of individuals operating in the market throughout the UK, and countless clients who take pleasure in a bet.


"Regulated betting and video gaming is one of the UK's few worldwide effective sectors, producing ₤ 6.8 billion for the economy, contributing over ₤ 4 billion in tax and supporting 109,000 jobs, while providing essential funding for British sport.


"While we welcome the choice not to raise land-based responsibilities and to scrap bingo task, these extreme online tax increases will weaken tasks, investment and development across the UK.


"The Government's Budget is an enormous win for the exceptionally hazardous, hazardous, uncontrolled gambling black market, which pays no tax and offers none of the defenses that exist in the regulated sector.


"These are bad for tasks, bad for consumers, bad for sports and bad for much safer gaming."


Treasury Select Committee chairwoman Dame Meg Hillier stated: "The gaming sector's scaremongering has failed.


"The Chancellor has made the right choice in agreeing with my committee that the tax rate for remote wagering, including extremely addicting gambling establishment games, need to reflect the harm it causes.


"Some parts of the gaming market, such as racecourses and bingo halls, make a cultural contribution to our nation.


"This is not the case, though, for online slots and other remote gaming which can rapidly drain the bank balances of susceptible individuals after just a few clicks of a button on a phone."