BGC says 25% Machine Games Duty will cost ~9,000 jobs and hundreds of venues

The Betting and Gaming Council has warned that the Chancellor’s decision to raise Machine Games Duty to 25 per cent risks nearly 9,000 job losses and places almost 1,000 betting shops and casinos at serious risk of closure. The council cited independent projections by EY to support its assessment of the October 2026 budget change.

What the projections say

EY's modelling, as cited by the Betting and Gaming Council (BGC), indicates that the rise in Machine Games Duty (MGD) to 25 per cent could displace nearly 9,000 workers and put almost 1,000 betting shops and casinos in severe danger of permanent closure. The BGC presented those figures in response to the Chancellor’s fiscal package and the published duty increases.

The regulated sector is already absorbing the impact of a prior £1.7 billion tax package. As part of that earlier package, online gaming duty rose to 40 per cent in April 2026, and general betting duty is scheduled to rise to 25 per cent in April 2027. Since the earlier measures, more than 600 betting shops have closed or announced closures, with over 11,000 jobs lost or placed at risk across online and retail channels.

Geographic and community impact

The BGC highlighted vulnerability in Britain’s regions outside London. More than eight in ten betting shop jobs are located outside the capital, concentrating exposure in the North of England and Scotland. The council said closures tend to remove commercial activity from high streets where alternative employment opportunities are limited and where affected roles are frequently held by young people, working parents and primary carers.

The tax increase also threatens the industry’s financial contributions to sport. The BGC quantified those contributions as approximately £350 million a year to horseracing and more than £40 million to the English Football League and Scottish football combined, in addition to support for rugby league, darts and snooker.

Regulator, industry size and fiscal context

The BGC noted the regulated industry currently contributes £6.8 billion to the British economy, generates over £4 billion in tax receipts and sustains 109,000 jobs. The council argued that the cumulative tax burden — combining the earlier £1.7 billion measures with the new 25 per cent MGD — will further strain operators’ margins and viability.

“This is a deeply damaging decision and a blow to the thousands of workers, businesses and communities who depend on Britain’s regulated betting and gaming industry,” said Grainne Hurst, Chief Executive of the Betting and Gaming Council. “At 25 per cent, EY projects almost 9,000 people could lose their jobs and almost 1,000 betting shops and casinos could close or be at serious risk.”

Hurst added that venue closures hollow out high streets and hand a competitive advantage to illegal operators that evade taxes and ignore consumer safety standards.

Wider consequences flagged by the BGC

The council warned that higher taxes on the regulated sector will likely drive customers to unregulated illegal operators, reducing consumer protections and the industry’s capacity to fund sport and community programmes. The BGC called the decision at odds with recent Government growth reforms for Britain’s casinos and said it undermines planned high-value investments in the sector.

For regulatory readers, the budget decision and the BGC response are now part of the operational and compliance landscape that follows the April 2026 and April 2027 duty changes; the industry response and any further analysis by bodies such as EY will shape immediate commercial planning. See related coverage on regulation and sector reaction in our news section.