UK betting industry appeals to jobs and community in anti-tax push

Betting-related lobbying is getting more and more intense as the latest British government under its 59th Prime Minister, Andy Burnham, prepares to publish its Autumn budget later this month. The campaign has seen major industry players including Entain and Betfred warn of imminent shop closures should taxes on gaming machines, the Machine Games Duty (MGD), be doubled – something the government is rumoured to be considering. In the latest lobbying escalation, the Betting and Gaming Council (BGC), the UK’s biggest trade body for the betting industry, has launched a new campaign, ‘Back Our Betting Shops”. “Behind every betting shop is a team of real people earning a living, supporting their families and playing a part in their local community,” said Grainne Hurst, Chief Executive Officer of the BGC. “These shops are not just businesses. For many people they are community hubs, familiar places on the high street where people work, meet and socialise, often with staff who have known their customers for years. “They also help support British sport, from horseracing to rugby league, including clubs and competitions that are themselves at the heart of communities across the country.” History repeats itself The government is reportedly considering doubling all three rates of MGD – increasing the lower rate of 5% to 10%, the standard rate from 20% to 40%, and the higher rate from 25% to 50%. Lobbyists on the gambling reform side of the debate have been broadly supportive. Voices in favour include Gordon Brown, who was vocal in calling for increases in online gaming taxes last year, and the Social Market Foundation (SMF), among others. In response, the industry is appealing to its economic contribution and role as an employer. Fred Done, founder of Betfred, the single largest chain of retail operators on the UK high street with over 1,300 shops throughout the country, argued that betting shops will become extinct on the UK high street by 2030 in an interview with the Financial Times. Stella David, CEO of Ladbrokes Coral operator Entain, made similarly gloomy predictions in an letter to Andy Burnham. David made an appeal to betting shop’s place in local communities and on the employment they provide. Both Betfred and Entain have closed shops this year, the former announcing the closure of some 10% of its retail estate this summer while the latter has mainly closed venues in Ireland. William Hill (evoke-owned) and Paddy Power (Flutter Entertainment-owned) have also rolled back their respective retail estates. The BGC joining the chorus follows its extensive campaign against the Remote gaming Duty and General Betting Duty increases in 2025. Last year’s lobbying also saw the British Horseracing Authority’s (BHA) ‘#AxeTheRacingTax’ campaign, and The Sun newspaper’s ‘Save Our Bets’ campaign. An increase on MGD may seem all the more likely now after Burnham’s announcement over the weekend of his plans to create an NHS-style system for social care – even if it means tax hikes across the board. With the gambling industry somewhat of an easy target for the government’s tax rises – and one that would create less public ire than increases on other industries – the future may not look too bright for a potential stoppage on an increase in MGD. That hasn’t prevented Hurst and the BGC from lobbying, though. “We have already seen thousands of shops close and thousands of jobs disappear,” the BGC’s Hurst continued. “Further tax increases would not just show up on a balance sheet. They could mean more people losing their livelihoods, more empty shopfronts and more communities losing businesses they value. “That is why we are asking Britain to Back Our Betting Shops. This campaign is about telling the stories behind the statistics and making sure the voices of the people whose jobs and communities are at stake are heard.”