BGC warns of mass job losses and venue closures after Machine Games Duty rise

The Betting and Gaming Council (BGC) has warned that the Chancellor’s decision to raise the Machine Games Duty (MGD) to 25 per cent threatens to cause “almost 9,000” job losses and put “almost 1,000” venues at serious risk, according to EY projections cited by the council itself. The trade association expressed deep disappointment and noted the sector already bore a previous tax rise of £1.7 billion.

Projected employment impact and closures

EY projects that raising the MGD to 25% could displace around 9,000 workers and put nearly 1,000 betting shops and casinos at risk of permanent closure. The BGC also noted that, after the prior budget, more than 600 venues have already closed or announced closures, and that over 11,000 jobs were lost or became at risk across online and retail environments.

Vulnerability is concentrated in the North of England and in Scotland, where venue closures leave retail units vacant in communities with few alternative employment opportunities. The BGC emphasised that more than eight out of ten betting-shop jobs are located outside London and that affected roles tend to be held by young people, working parents and primary carers.

Effects on funding for British sport

The increased tax burden puts pressure on the contributions that the regulated industry provides to British sport. The sector contributes approximately £350 million a year to horse racing and more than £40 million to English and Scottish football, in addition to support for rugby league, darts and snooker. The BGC warned that reduced financial capacity among regulated operators would decrease those funding flows.

Executive perspective and black-market risk

Grainne Hurst, Chief Executive of the Betting and Gaming Council, criticised the measure with these words:

"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. The Chancellor has ignored repeated warnings about the consequences. 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. These are real people and families facing the loss of their income and security, in places where alternative work can be hard to find."

Hurst added that each closure empties high streets and, at the same time, gives a competitive advantage to illegal operators who evade taxes, do not contribute to sport and do not meet consumer safety standards.

Economic scale of the regulated sector

The BGC stressed that the regulated industry contributes £6.8 billion to the British economy, generates more than £4 billion in tax receipts and supports 109,000 jobs. The recent tax package also included an increase in the online gaming tax to 40 per cent in April 2026, and a rise in the general betting duty scheduled to 25 per cent in April 2027.

The combination of these tax changes and EY’s figures form the basis of the BGC’s public warning about the risk to jobs, retail premises and financial contributions to sport in the United Kingdom.