In the midst of a rather end-to-end battle with one another, it would appear that the UK Government and the UK Gambling scene are set to clash once again. This time, it’s to do with a potential 2019 rise in taxes – with a point-of-consumption tax for online gambling expected to come in at some point in 2019.
This is part of the current war against the industry from UK critics, who believe gaming companies need to be taxed more to help invest into treatment for problem gamblers. At present, the POC tax rate is around 15% – the aim is to increase that to a larger number. It’s also seen as a way to help placate the anger from the industry, who are annoyed that the maximum stake cuts for fixed-odds betting terminals. These cuts won’t be coming in before 2020, though, which has caused a bit of consternation in the community.
These taxes will likely come in at some point early in 2019, as the Government (presuming there is not a General Election) looks to try and get anti-gambling groups off their back. This would mean that any company operating in the UK – even if they are based elsewhere – will need to pay that extra tax at the point of consumption.
So, it’s likely to have a pretty significant impact on the industry as a whole on the medium-term. What it means in the long-term for gambling in the UK, we will have to wait and see.
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