A new report from the CEBR thinktank and Bacta has warned increasing gambling duty would cause “a bloodbath of jobs” across the UK, with 15,300 full-time jobs potentially at risk if taxes are pushed above 20 percent next month.
A report published by the CEBR thinktank has warned increasing the tax on UK amusement centres will cause “a bloodbath of jobs,” with thousands potentially at risk of losing work as AGCs and bingo venues become financially unviable.
The Centre for Economics and Business Research cautioned MPs that 15,300 full time positions could be in danger if the Treasury raises gambling taxes above the current 20 percent, with many businesses “struggling to stay afloat.”
“This government claims to be on the side of small businesses, of growth and of hardworking people,” said Joseph Cullis, president of Bacta, which commissioned the study. “Yet if the Budget raises machine gaming duty to an unsurvivable level, thousands will be forced to visit the Job Centre.”
According to the CEBR findings, AGCs and High Street Bingo venues directly employ approximately 8,000 full-time equivalent staff, while their operations indirectly support a further 3,900 FTE jobs through supply chain spending. In addition, spending in the wider economy by these employees supports another 3,500 FTE positions.
Additionally, AGCs, when combined with High Street Bingo, supports a total of £2.2bn in turnover and £1.1bn in Gross Value Added. The report also notes that “these employees are paid aggregate compensation of £0.6bn, averaging £38,000 per job.”
“We are already struggling to survive with high energy costs, National Insurance contributions and the fact that people have less money to spend on leisure because of inflation and the wider shocks in the economy,” said William Bollom.
“Increasing machine game duty by even the smallest amount would be a hammer blow to my business and I honestly can’t see how I would be able to keep the place open.”
A taxing issue
William Bollom said……. “Increasing machine game duty by even the smallest amount would be a hammer blow to my business and I honestly can’t see how I would be able to keep the place open……
