Menu

Gambling News

UK to Tax Casino & Bingo Free Bets from 2017

- March 17, 2016 By Nemanja L. -

UK introduce bingo and casino free bet tax

Bingo and casino free bet offers will be taxed in the UK from 2017.

Online casino and bingo operators licensed in the UK will be obliged to pay tax on their free bet promotions from 2017, it has been revealed.

Chancellor George Osborne presented the government’s new budget proposal on Wednesday, revealing the plan to impose a 15% general betting duty (GBD) tax on free bets and discounted wagers starting from 1 August 2017.

The UK government caused a great deal of controversy when it introduced a 15% point of consumption tax (POCT) on internet gambling revenue from UK bettors, but casino and bingo free bets were taken out of the equation.

The new plan will ensure that bingo and casino free bet offers are taxed at the same rate as the values that already apply to sports betting, so this can hardly be seen as a surprise.

The good news for the operators is that the August 2017 start date gives them plenty of time to adjust their current promotions to ensure the cost resulting from the new legal framework is something they can live with.

Good News for UK Bookmakers

UK’s leading bookmakers appear to have dodged a bullet as they expected Osborne to further increase the Machine Games Duty or at least additionally restrict online advertising.

And with neither of these becoming a reality, the likes of Ladbrokes and William Hill saw the value of their shares increase 6 percent and 4 percent respectively.

The point of consumption tax, introduced back in 2014, had a major effect on the UK sports betting market, causing Ladbrokes to post first annual loss in the last ten years.

Having somehow managed to survive the POCT, UK bookmakers feared new legal framework would be introduced that would further eat into their profits, so it is fair to say they were quite relieved to hear that the only change concerned casino and bingo sites.

YOU MIGHT BE ALSO BE INTERESTED IN THESE:

LATEST NEWS

santas great gifts slot

Get Ready for Christmas With Santas Great Gifts by Pragmatic Play [...]

woodlanders slot betsoft

Explore a Fairy Forest in the Woodlanders Slot by Betsoft [...]

superstars slot

NetEnt Launches Superstars Slot With Crossover Characters [...]

MORE INTERESTING ARTICLES

christmas slot

Top 5 Christmas Slot Titles of 2022 So Far [...]

pragmatic play slots

Best Pragmatic Play Summer 2022 Slots [...]

top netent slots

Top 5 NetEnt Slots in 2022 So Far [...]

BACK TO TOP

Receive Exclusive Bonuses, Promotions & News

Never miss a good casino promotion again! Add your email to our mailing list and receive some exclusive casino bonuses, promotions & updates straight to your inbox.