Warning Labour’s £3billion tax raid on gambling firms will ‘completely derail’ racing and threaten jobs
LABOUR’S potential £3billion tax raid on gambling companies could ‘completely derail’ racing and threaten jobs, it has been warned.
Betting and Gaming Council CEO Grainne Hurst has laid bare the scale of the destruction a proposed hike in taxes could have on the country’s second most-attended sport.
The TimesThe proposed tax hike could have dreadful consequences for punters[/caption]
Chancellor Rachel Reeves is considering doubling some of the taxes levied on online casinos and bookmakers to plug a £22bn blackhole.
The proposals being considered specifically call for bookmakers’ profits on sports betting to be doubled to 30 per cent.
This could prove a nightmare for punters, with bookies likely to offer much less value in markets, not to mention proving disastrous for the sport’s finances as a whole.
Betting and Gaming Council members already contribute £7.1bn to the economy, generating £4.2bn in tax and providing 110,000 jobs.
Hurst said if the powder-keg proposals are adopted the damage would be enormous, with £3bn already wiped off the value of the biggest bookies after reports of the hike were published.
She said: “I want to be very clear with Government, any further tax rises now will not only slam the breaks on growth for our sector, but it will threaten jobs and completely derail horseracing.
“Our industry is at a cross roads as we seek to implement the measures contained in the White Paper, measures that will cost our sector over £1bn.
“We also can’t ignore the new Levy on Research, Prevention and Treatment for problem gambling, which will raise £100m a year from bookmakers.
“After so many years of uncertainty, we need stability to deliver sustainable investment, not further change which threatens to undo that contribution.
“What is true for the BGC, is also true for horseracing.
“Any new taxes now risks giving a leg-up to the lurking menace of the black market, which is hoovering up disaffected customers with eye catching offers but none of the protections that are in place in the regulated market.
“Customers have been hit hard for years, with increasing pressure on the cash people have available to spend on the hobbies they enjoy, once bills and taxes are paid. Now is not the time to ramp up that pressure.
“Betting and gaming remains a hugely popular pastime in this country, with around 22.5m people having a flutter each month, and it is enjoyed safely by the overwhelming majority.
“Our members are a Great British export and genuine global leaders, delivering enormous economic good in city centers, on high streets and in the growing online sector.
“We want to partner with Government to see the right, proportionate regulations, and a stable tax regime, which doesn’t hit customers, doesn’t raise the attraction of illegal operators and doesn’t derail the horseracing industry, but instead delivers on the Government’s growth agenda.”
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Remember to gamble responsibly
A responsible gambler is someone who:
Establishes time and monetary limits before playing
Only gambles with money they can afford to lose
Never chases their losses
Doesn’t gamble if they’re upset, angry or depressed
Gamcare – www.gamcare.org.uk
Gamble Aware – www.gambleaware.org
Find our detailed guide on responsible gambling practices here.
