Home Gambling RegulationsBGC Raises Alarm Over 9000 Job Losses Due to Tax Hike on Machine Games Duty

BGC Raises Alarm Over 9000 Job Losses Due to Tax Hike on Machine Games Duty

by Sienna Marques
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BGC Raises Alarm Over 9000 Job Losses Due to Tax Hike on Machine Games Duty

The Betting and Gaming Council (BGC) in the UK issued a stark warning about the potential loss of 9,000 jobs due to a recent decision to increase the Machine Games Duty to 25%. On October 29, Chancellor John Healey, the head of the UK Treasury, announced this hike in the duty as part of the Autumn Budget, intended to provide increased business rate relief for the retail, hospitality, and leisure sectors.

The BGC expressed concern that this tax increase will adversely affect both workers and businesses within the gambling industry. Following previous budget changes, the council has noted the closure of 600 betting shops and the loss of over 11,000 jobs in the sector.

Grainne Hurst, CEO of the Betting and Gaming Council, criticized the decision as "deeply damaging," emphasizing the negative impact on thousands of employees and their communities who rely on Britain's regulated betting and gaming sector. Hurst pointed out that the Chancellor has disregarded consistent warnings regarding the implications of such tax increases. According to projections by EY, at the proposed 25 percent rate, nearly 9,000 jobs could be lost, and around 1,000 betting shops and casinos may face closure or serious operational risks. She highlighted that these figures represent real families facing distress over potential job losses in areas where alternative employment opportunities are scarce.

The BGC also noted that casinos are experiencing increased pressure due to the rising tax burden, which could lead to a reevaluation of investment plans within the industry. Despite government reforms intended to support the land-based business sector, the association anticipates significant repercussions, including possible closures in Scotland and Northern England.

The council's data indicates that over 80% of the jobs in the gambling sector are located outside of London, suggesting that young workers and family caretakers will be disproportionately impacted by potential layoffs, as they often find fewer job opportunities. The new law on Machine Games Duty is set to align with regulations regarding Remote Gaming Duty, which has been in effect since April 2026.

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