UK: 90 Labour MPs Call for Higher Gaming Machine Taxes

United Kingdom.- 20 October 2026 | www.zonadeazar.com A group of 90 Labour MPs has urged UK Chancellor John Healey to increase taxation on certain higher-risk gaming machines.

The proposal was submitted on 16 October 2026 in a letter organised by Alex Ballinger, Labour MP for Halesowen.

The initiative aims to increase tax revenue and reduce gambling-related harm. However, the Betting and Gaming Council (BGC) has warned that higher duties could result in venue closures and significant job losses.

The debate comes ahead of the UK Budget scheduled for 28 October.

Proposal to Increase Machine Games Duty

The MPs are calling for a higher rate of Machine Games Duty (MGD) on Category B gaming machines, commonly found in betting shops, casinos and adult gaming centres.

Certain machines within this category are currently subject to a 20% tax rate.

Although the letter does not specify a final rate, it refers to a Social Market Foundation (SMF) proposal to increase the duty to 40%.

According to SMF estimates, the change could generate between £275 million and £458 million in annual tax revenue.

The proposal would exclude pubs, lower-category gaming machines and traditional bingo.

Gambling Harm and Community Protection

The MPs argue that higher-stakes gaming machines are associated with increased risks of gambling-related harm.

The letter highlights that 47% of adult gaming centres are located within the country’s 20% most deprived areas.

It also cites estimates of more than £2.3 billion in economic losses associated with harmful machine gambling.

Supporters believe higher taxation could help address some of these social costs.

BGC Warns of 16,000 Jobs at Risk

Grainne Hurst, CEO of the Betting and Gaming Council, expressed serious concerns about the proposal’s potential economic impact.

According to EY modelling cited by the BGC, increasing the duty to 40% could result in:

  • Up to 16,000 jobs affected.
  • Nearly 1,500 betting shop closures.
  • The closure of 34 casinos.
  • A potential £124 million net loss to the Treasury.

The BGC also reported that more than 600 betting shops have closed or announced closures since the previous Budget.

These figures represent industry-backed projections and contrast with the revenue estimates cited by Labour MPs.

Next Steps and Impact

The UK Government will consider the competing arguments ahead of the 28 October 2026 Budget.

While MPs supporting the increase emphasise reducing gambling-related harm, the BGC warns about potential consequences for employment, land-based casinos and local economies.

No increase in Machine Games Duty has yet been approved.

The forthcoming decision could significantly influence the future of Britain’s land-based gambling sector and its taxation framework.

Editó: @fonta

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