Proposed 40% Machine Games Duty Rise Risks 16,000 UK Betting Jobs and £124 Million Treasury Shortfall

A proposed increase in Machine Games Duty to 40% could put up to 16,000 jobs at risk across Britain’s betting and gaming sector. The Betting and Gaming Council issued the warning ahead of the upcoming Budget, noting that further tax rises could threaten more than 36,000 jobs supported by betting shops. Young workers, women, and communities outside London stand to lose most.

Independent modelling by EY concludes the duty hike would also threaten almost 1,500 betting shops and as many as 34 casinos while leaving the Treasury up to £124 million worse off. Over 80% of the jobs at risk lie outside London, with 27% in northern England and nearly 40% once Scotland is included.

Demographic Profile of Jobs at Risk

Betting shops employ a workforce that skews younger and more female than the national average. Almost one in five employees, or 19%, is under 25 compared with 11% across the wider economy. More than half, or 51%, are under 35 against 35% nationally. Women account for half the workforce, many in roles that accommodate childcare and caring responsibilities.

Grainne Hurst, Chief Executive of the BGC, stated: “Almost one in five betting shop employees is under 25 and more than half are under 35. For many, it is their first job, their first pay packet and their first opportunity to build a career.” She added that higher taxes would conflict with the government’s stated aim of supporting in-person gambling for its employment benefits and revitalising high streets.

The regulated sector as a whole supports 109,000 jobs, contributes £6.8 billion to the UK economy, and generates more than £4 billion in annual tax revenue. Betting shops also direct around £140 million a year to British horseracing and more than £40 million to sports including the English Football League.

Policy Tension Ahead of the Budget

The industry has already absorbed a rise in Remote Gaming Duty to 40% and faces a further General Betting Duty increase scheduled for April 2027. Hurst’s direct message to the Chancellor calls for ruling out any Machine Games Duty increase, assessing prior tax damage, and halting the General Betting Duty rise so the Budget backs betting shops rather than costing towns thousands more jobs.

As reported by Yogonet International, the BGC case sets out a clear tension between revenue goals and regional employment objectives. Operators facing margin pressure and potential shop closures will need to monitor the fiscal statement for any shift in approach that either eases or accelerates the projected losses.

Reporting: Yogonet International

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