UK Budget Slams Online Gambling with Major Tax Hikes
UK Chancellor of the Exchequer Rachel Reeves delivered a fierce rebuke of online gambling in her Autumn Budget speech today, announcing sweeping tax hikes on remote betting and gaming as part of a major revenue-raising package.
Addressing a crowded House of Commons, Reeves said the government would sharply raise Remote Gaming Duty from 21% to 40%, while increasing the tax rate on online betting from 15% to 25%. She described the measures as necessary to address what she called “the highest levels of gambling-related harm” within the online sector.
Reeves insisted the tax overhaul would generate more than £1 billion annually by 2031. Her announcement came despite an embarrassing early leak of the Budget’s contents, the latest in a string of disclosure mishaps that have overshadowed the Labour government’s fiscal preparations during its first 14 months in office.
In contrast to the steep increases for online operators, Reeves confirmed that several gambling sectors would avoid new tax burdens. The 10% duty on bingo will be scrapped, casino gaming duty bands will remain unchanged until 2026–27, and there will be no new levies for horse racing or in-person betting.
The gambling reforms form part of a broader £26 billion package of tax rises included in Reeves’ Budget. Among the additional measures is the introduction of a recurring Mansion Tax on properties valued above £2 million, payable in addition to existing Council Tax. The Chancellor, however, ruled out changes to VAT, National Insurance or the basic rate of income tax.
Industry reaction to the remote gambling tax increases is expected imminently, with operators and trade bodies preparing formal responses to what is likely to be one of the most consequential fiscal shifts for the UK betting sector in more than a decade.
