The Government must be bold in the face of industry
scaremongering and tax online betting games at a rate which
reflects the growth of harmful and addictive betting practices,
says a report published today by the Treasury Committee.
Many people safely enjoy various forms of gambling, ranging from
seaside arcades and bingo through to betting on the races and
football. However, there is another side to the industry.
The shift towards online betting games has picked up pace in
recent years. The proportion of the Gross Gambling Yield
associated with remote gaming has risen from 12% in 2013/14 to
44% in 2023/24.
Online betting games can promote harmful, addictive, high
frequency gambling that brings no benefits to people, families
and communities. The Committee is urging the Government to more
sharply recognise that different types of gambling inflict
different levels of harm and say this should be reflected in its
approach to taxation.
In its report, the Committee rejects the industry's assertion
that gambling causes no social ills.
The Committee also heard evidence to both support and challenge
the gambling industry's concern that increased taxation could
drive more customers to the black market.
It recommends that the Government should examine how to tackle
any black market gambling and consider whether additional
anti-avoidance measures are needed.
Chair comment
“Whether at a local racetrack or a seaside arcade, for many
people, gambling is a fun pastime enjoyed with family and
friends. But, we heard that the industry is hiding its more
insidious parts behind the friendly facade of its traditional,
cultural forms.
"For too many people, the highly addictive and harmful nature of
online betting games has seriously impacted their lives and the
lives of those around them.”
"The impacts of problem gambling in our communities are plain to
see, and the industry's boldfaced claim to our inquiry that it
does no social harm is staggering.
"Online betting games are extracting huge amounts of money from
people who have been funnelled into the most addictive, harmful
corners of the industry via their love of sports, or the
occasional game of bingo.
"We are urging the Government not to cave in to industry
scaremongering and to tax online betting games at a rate that
reflects the level of harm they inflict.”
