Grosvenor Casinos owner warns of £9m tax hit after Healey's gambling duty hike
Rank Group warns that the increase in Machine Games Duty to 25% will cost it around £9m a year.Summary
Rank Group, the owner of Grosvenor Casinos and Mecca Bingo, has warned that the Chancellor's decision to raise Machine Games Duty (MGD) from 20% to 25% in April 2027 will add approximately £9m to its annual tax bill before any mitigating measures. The company expects an additional £2m in costs in the current financial year ending June 2027 but remains confident of delivering like-for-like operating profit in line with expectations. The warning follows a rally in gambling stocks after the Chancellor opted for a smaller increase than many feared. Entain has estimated a £25m annual cost to its UK retail business, while the Betting and Gaming Council warned that nearly 1,000 betting shops and casinos could close or face serious financial pressure, citing EY modelling. The MGD rise adds to pressure from last year's increase in Remote Gaming Duty to 40% and the forthcoming rise in General Betting Duty on online sports betting to 25% next April.
(Source：City A.M.)