Badenoch Warns Gambling Tax Rises Will Put Good Companies Out Of Business
Conservative Party leader Kemi Badenoch has accused the Labour government of putting UK gambling into a "tax doom loop," warning that further duty rises would push legitimate operators out of business and drive punters toward the black market.
Badenoch made the comments in an interview with The Sun, published as attention turns to the first Autumn Budget under new Chancellor John Healey and to whether the Treasury will raise Machine Games Duty.
"Cannibalising Business"
Badenoch said the government's approach was self-defeating.
"Labour are in the tax doom loop. They raise taxes, businesses close, less money comes in, and so they have to raise taxes even further," Badenoch told The Sun. "What they're doing is just cannibalising business."
She added that continued tax rises would hit compliant operators hardest.
Industry Pressure Builds Ahead Of Budget
The warning follows a run of retail closures and job cuts across the sector, which operators have linked to higher national insurance costs and last year's rise in Remote Gaming Duty from 21% to 40%.
Betfred has closed 132 high street shops, putting more than 600 jobs at risk. Paddy Power faces the closure of 100 shops, and Bet365 will shed 340 jobs.
Grainne Hurst, chief executive of the Betting and Gaming Council, echoed the warning this week, saying a further increase to Machine Games Duty could cost up to 16,000 jobs, 1,500 betting shops and 34 casinos, and leave the Treasury worse off overall.
"Public policy should not be driven by assumptions or ideology. It should be driven by evidence and an honest assessment of consequences," Hurst said.
A Familiar Political Line
Badenoch previously joined The Sun's Save Our Bets campaign ahead of last year's Budget, when she accused then-Prime Minister Keir Starmer and then-Chancellor Rachel Reeves of turning Britain into a "nanny state."
She has also backed Shadow Gambling Minister Louie French's characterisation of the last Conservative government's approach to the Gambling Act Review as "balanced and business-friendly."
The comments add political weight to industry lobbying ahead of the Autumn Budget, where operators including Entain, Flutter Entertainment and Super Group's Betway are watching closely for any further changes to gambling duty rates.
