On Monday, the Betting and Gaming Council (BGC) launched a campaign called "Back Our Betting Shops." This initiative aims to shed light on the potential impacts of increasing taxes and the closure of betting shops, emphasizing the effects on employees, communities, and local high streets across Britain.
The campaign features a diverse array of voices from the betting industry, including long-serving employees, apprentices, managers, and customers, as well as local community contributors. Its intent is to showcase how betting shops serve as community hubs rather than merely businesses.
A significant aspect of the campaign conveys the message about the "very real human consequences" of further tax hikes, which could adversely affect workers, their families, neighboring businesses, and the broader community.
In the context of these discussions, Makerfield, the constituency of the Prime Minister, is highlighted as a crucial case study for the policies he supports. Grainne Hurst, chief executive of the BGC, remarked that "Makerfield tells a very human story about what betting shops mean to communities across Britain." Hurst pointed out that the Prime Minister advocates for policies to pass a "Makerfield test," ensuring they genuinely benefit the local population.
"Behind every betting shop is a team of real people earning a living, supporting their families, and contributing to their local community," Hurst added. She urged for public support of betting shops, which an Opinium poll indicated were deemed beneficial by 54% of Makerfield residents for local community life. This sentiment crossed political divides, with 51% of Labour voters and 59% of Reform voters echoing this view.
The campaign is particularly focused on opposing a proposed rise in Machine Games Duty (MGD) to 40%. The BGC referenced modeling from the professional services firm EY, which projected that such an increase could jeopardize up to 16,000 jobs, close nearly 1,500 betting shops, and threaten up to 34 casinos, while ironically costing the Treasury around £124 million.
“Further tax rises risk inflicting exactly the kind of damage communities like Makerfield are worried about and raise serious questions about whether such a policy would pass the Prime Minister’s own Makerfield test,” Hurst stated.
Stella David, CEO of Entain, also expressed concern that raising the MGD to 40% could lead to widespread shop closures and considerable job losses, potentially decreasing government tax revenues. Fred Done, the founder of Betfred, warned that such a tax hike would result in the closure of 495 Betfred shops within a year, resulting in a loss of 2,575 jobs and an estimated £67 million in lost tax revenue for the Exchequer. Betfred has already closed 132 shops this year, following an increase in Remote Gaming Duty (RGD) last year.
Additionally, the government announced last month its intention to repeal the established "aim to permit" rule for betting shops and 24-hour slot machine arcades across Great Britain, which previously favored granting permissions for these venues.
