Britain’s betting shop operators are calling for an urgent review of the government’s decision to raise the tax on electronic table game revenue from 20 to 25 percent, a move they say will cost the industry more than £75 million a year when it comes into force in March 2015.
The Association of British Bookmakers said it would be “lobbying hard” to overturn the increase. “We are assessing the extent of the damage the budget will cause the industry. What’s clear is that it has put thousands of jobs at risk almost immediately.”
Ironically, critics of the controversial machines, known as fixed-odds betting terminals, also take issue with the higher tax, arguing that it shows the government cares more about profiting from the machines that about protecting consumers.
They say the machines, which allow players to wager on a variety of automated casino-style games, roulette being the most popular, are a leading cause of problem gambling and have sparked an explosion in recent years in the number of high street betting shops, for which the machines, which are restricted to four per location, are now the leading source of revenues.
“Rather than deal with the FOBTs and proliferation of betting shops (Chancellor George) Osborne says he wants to make more money from them,” said Labor MP David Lammy, who represents a district in London.
The Labor Party is pushing Parliament to grant local governments greater zoning powers to control the licensing of new betting shops and wants the governing Conservatives to impose limits on bet sizes and other deterrents.
The industry, meanwhile, recognizing the direction of the political winds, has formed a new entity bringing together all sectors—betting, bingo, casinos, internet and low-stakes arcade gaming—to promote its commitment to consumer protection.
The Industry Group for Responsible Gambling, as it’s called, a coalition consisting of the ABB, the British Amusement & Catering Trade Association, the Bingo Association, the National Casino Forum and the Remote Gambling Association said it will work within existing relationships to provide a cross-sector forum on matters of common interest and to help spread best practices.
