BGC Warns Chancellor Healey’s Machine Games Duty Increase to 25% Will Trigger Nearly 9,000 Job Losses
The BGC criticises the Autumn Budget’s hike of Machine Games Duty to 25%, citing EY forecasts of nearly 9,000 job losses and 1,000 venue closures. This compounds £1.7 billion in prior tax changes plus upcoming duty rises to 40% online and 25% on general betting. The regulated sector warns of boosted illegal gambling activity.
SCCG Take — Repeated tax increases accelerate closures in licensed UK betting while advantaging untaxed illegal operators. Regulators and operators must track the projected regional job and venue losses to gauge long-term fiscal sustainability.
The Betting and Gaming Council has issued a sharp critique of Chancellor John Healey’s Autumn Budget decision to raise Machine Games Duty to 25 per cent. The trade body, which represents much of the UK’s regulated betting and gaming sector, argues the levy will accelerate closures and job losses as the industry absorbs prior tax rises, according to iGaming Future.
Grainne Hurst, Chief Executive of the BGC, described the move as deeply damaging. She noted that it ignores repeated warnings about consequences for workers, businesses, and communities.
Projected Closures and Regional Effects
EY modelling indicates almost 9,000 people could lose their jobs and almost 1,000 betting shops and casinos could close or sit at serious risk. This follows last year’s £1.7 billion tax changes. More than 600 betting shops have already closed or signalled impending closure since the prior Autumn Budget, while over 11,000 jobs across online and retail have been lost or placed at risk.
The North of England and Scotland face particular pressure. More than eight in 10 betting shop jobs sit outside London, in areas where alternative employment is often limited. The increase also threatens annual industry contributions of around £350 million to horse racing and more than £40 million to the English Football League and Scottish Football.
Consequences for Regulated Operators and Illegal Markets
The BGC highlights that the sector contributes £6.8 billion to the British economy, generates more than £4 billion in tax, and supports 109,000 jobs. Hurst warned that higher taxes on licensed businesses make the illegal market more attractive, where operators pay no UK tax, fund no sport, and provide none of the required safeguards.
This decision risks hollowing out high streets and handing an advantage to unregulated operators. The government cannot ignore the resulting cost to jobs, businesses, and the regulated sector’s viability. Operators will need to weigh further cost controls against sustained fiscal pressure, while policymakers assess whether successive levies undermine the very contributions the industry delivers.
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