Would a gambling tax rise in the budget really shut shops and cost jobs?
The article examines claims that increasing gambling taxes would cause shop closures and job losses, arguing the reality is more complex.Summary
The gambling industry is warning that raising machine games duty (MGD) from 20% to 40% would cause widespread betting shop closures and job losses. The Betting and Gaming Council, citing an EY report, estimates up to 1,470 shops could close, with 15,900 job losses and a net cost to the Treasury. Individual operators like Fred Done of Betfred and Entain have made similar claims. However, the article notes that bookmakers have previously exaggerated closure threats; Betfred threatened to close nearly 1,000 shops but closed only about 330. Bet365 blamed tax rises for job cuts while also increasing AI use. While cost increases will hurt the sector, the article concludes that adult gaming centres (AGCs) with lower overheads may survive and expand, potentially replacing bookies with 24-hour slot farms. The government's stance, influenced by Andy Burnham's restrictions on new gambling premises, adds uncertainty, but the ultimate impact of an MGD rise remains unclear.
(Source：Google News)