BGC: Reeves making a mockery of growth strategy with gambling tax
The Government would be “making a mockery of their growth strategy” if they introduce a mulled gambling tax, the chief of the Betting and Gaming Council has said.
Grainne Hurst insists that plans by Chancellor Rachel Reeves and the Treasury that could hit bookies with tax rises and potentially drive punters away from popular sites are “self-defeating”.
Controversy surrounds mooted plans to raise taxes on bookies in line as online gaming and casino sites, up from 15 per cent to 21 per cent.
The mulled levy has caused a stir in the world of betting and in sports such as horseracing, whose relationship with bookies and punters is key.
Betting and Gaming Council chief Grainne Hurst, said: “Raising taxes further now on regulated betting and gaming through a new single tax would be utterly self-defeating for the Government, while making a mockery of their growth strategy.
“If General Betting Duty is raised to the same level as Remote Gaming Duty under one new tax, it would be catastrophic for Racing’s fragile finances.”
Gambling tax a flawed approach
Hurst states that BGC members contribute £6.8bn to the economy, generate £4bn in tax and support well over 100,000 jobs.
It comes as the Chancellor looks to find revenue to top up the country’s coffers in the wake of a number of costly spending decisions. Reports this week suggest she could target property, inheritance, pensions and, of course, punters.
“It will also likely force businesses to push investment and jobs overseas,” Hurst added, “while making their products more expensive for UK customers, driving them to the growing unsafe gambling black market online, which doesn’t pay a penny in tax and doesn’t have any of the safer gambling protections available in the regulated sector.
“This flawed approach can only lead to a spiral of decline. The Government must listen to business and sport and not drive growth, investment and jobs out of one of the UK’s few global business success stories.”