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MPs Urge Sharp Tax Rises on Online Gambling to Reflect Harm

The 26 November Budget will test whether harm‑based tax rises on online gambling outweigh industry warnings.

Overview

  • A Treasury Committee report recommends increasing remote gaming duty and machine games duty, potentially toward 50%, to align taxes with product‑related harms, up from current rates cited around 21% and 20%.
  • The committee calls for action on tax avoidance and for reviewing operators’ use of low‑tax jurisdictions such as Gibraltar.
  • The Gambling Commission says it is not yet able to estimate the size of the illegal online market, while its chief executive labels it a serious threat.
  • Betting and racing stakeholders warn large duty hikes could force betting‑shop closures, reduce funding for sport and push customers to unregulated operators.
  • Northern Ireland’s All‑Party Group urges the Chancellor to set remote gaming duty at 50% and general betting duty at 25%, estimating up to £2 billion in additional revenue.