A third of respondents to a YouGov poll reportedly criticised the UK Government as having too much influence over how individuals spend their disposable income, which the Betting and Gaming Council (BGC) believes highlights “broader public concerns about government overreach”.
The BGC also referenced that 74% of regular punters “believe betting is a distinctive part of British culture”, with the standards body CEO, Grainne Hurst, noting that punters have made it clear that “betting is not just a leisure activity, but a valued and long-standing part of Britain’s cultural and sporting landscape”.
These comments come as the UK Government considers whether or not to implement a tax increase on the gambling industry, which many within the industry believe could have a knock-on effect on the growth of the black market.
Hurst added that cultural and economic contributions to high streets, local communities, grassroots sports, as well as taxes to fund public services, are at risk with a tax increase.
“Any further increase in taxation on regulated betting and gaming operators will hurt punters and drive even more towards the illegal, online black market, which pays no tax, supports no jobs, contributes nothing to British sport, and offers no safer gambling protections,” said Hurst.
The BGC did not provide a link to the YouGov survey they referenced. iGaming Expert has reached out to the BGC for the YouGov survey.
Public may back gambling tax increase
While the BGC reported data shows public opinion on betting as a whole, public opinion for a gambling tax increase looks different, as another recent YouGov poll has stated that of 6,153 GB adults surveyed, 42% would ‘strongly support’ an increase in online gambling tax, while 28% would ‘somewhat support’ a tax increase.
Only 16% of respondents in total stated they would oppose a gambling tax increase, whether that be ‘somewhat’ or ‘strongly’.
However, the sport of horse racing is in disagreement with a potential tax increase and is preparing to delay fixtures in September as part of a protest against its implementation.
Hurst added: “We want to work with racing and the Government constructively to get the balance right and prevent further tax rises, which will only undermine racing’s revenues and threaten investment in the sport, already a more expensive and less profitable product for operators.
“Only balanced regulations and a stable tax regime can safeguard consumers, secure jobs, and ensure betting and gaming continues to be a responsible, growing sector, and a proud part of Britain’s cultural heritage.”
Industry warnings
Ever since reports started to emerge that the UK Government could implement a tax increase on gambling, plenty of industry stakeholders have been against such a move taking place.
When asked about the potential tax increase during Entain’s H1 earnings call, CEO Stella David said: “We shouldn’t forget, we’re a great British company who generates a huge amount of tax for the government. We were a top 20 taxpayer anyway. And I think we should be proud of the success that this company generates not only here in the UK, but in many other markets. That’s point one.
“Point two on the conversation about tax hikes, which have been muted. I think people should be very cautious about the law of unintended consequences. There is already a large black market in the UK and driving up tax rates has the potential of reducing the tax take because people go to the black market.
“It is very easy access. There are very few controls that are in place to stop that right now. And there are examples in other markets, just take the Netherlands, when the tax rate went up significantly in January 2025. And they have already admitted, the chair of the regulator there, that has had basically an own goal. It hasn’t worked.
“And so I think people should look at the maths and be very careful about where we go forward because we want to protect players. If players go to the black market, they have no protections.”
Rob Wood, CFO of Entain, noted: “The obvious way to mitigate, which we would do whichever tax goes up because we’re one business in the UK, is through consumers. So the odds get worse, the promotions get worse, generosity gets worse, and the consequence of that is black market operators, who don’t pay any tax or have any player protection, pick up customers.
“From the outside, it’s very clear that the losers are the Treasury, the losers are the operators, also sport, because we also have to mitigate through marketing revenues – things like sponsorships go down – employment suffers, so really the only winners are the black market operators. The reassuring thing is we do think that the Treasury knows that and understands that’s true.”
The UK Government was also cautioned by evoke CFO Sean Wilkins regarding tax increases, with references once again made to the Netherlands.
“We want to see a balanced approach from the government to get more cash, but also to ensure the protection of an industry we should be proud of,” commented Wilkins.
“Increased tax beyond a certain point we know leads to black market growth, which leads to less tax take and zero player protection and is completely against the objectives of the Government. This is not speculation, this is evidenced in the Netherlands.”
September 15 will see SBC organise a groundbreaking charity football event in Lisbon. Make sure you get the chance to see some of the most legendary names in football by securing your ticket today at https://www.legendscharitygame.com/
