Burnham’s Tax Plan Targets High-Street Gambling
Andy Burnham, tipped to become prime minister, could impose a £460m tax increase on high-street slot machines and casinos, according to a Social Market Foundation (SMF) report. The thinktank found 43% of the public would support such a move by a future Labour government.
Adult gaming centres (AGCs), known as “slot sheds”, have proliferated on UK high streets, especially in deprived areas. Despite online casinos facing a tax hike in Rachel Reeves’s November budget, duty on physical slot machines remained unchanged. Burnham has condemned AGCs for exploiting vulnerable people and backed a proposal to use gambling taxes to end the two-child benefit cap.
Tax Increase Could Raise Up to £458m
Doubling machine games duty (MGD) from 20% to 40% on Category B £2-a-spin machines could generate an extra £275m to £458m, on top of the £600m already paid. The plan would affect casinos and major AGC operators like Admiral and Merkur, the latter fined for exploiting a terminally ill gambling addict. Bookmakers would also be impacted, which deterred Reeves due to concerns from the horse racing industry.
The SMF proposal spares lower-stakes fruit machines in pubs to protect hospitality revenue. However, Bacta, the trade body for AGCs, called it “fantasy economics” and warned it would cost jobs and push customers to illegal markets. The Betting and Gaming Council echoed that it would harm high streets.
Burnham’s Stance on Gambling Regulation
Burnham has previously accused AGCs of targeting vulnerable communities and backed calls for stronger local authority powers to block new venues. He was among 300 signatories urging Keir Starmer to scrap the “aim to permit” rule from the 2005 Gambling Act, which forces licensing authorities to approve new gambling premises. The rule has limited council opposition and led to overturned planning refusals.
The government introduced “gambling impact assessments” through the Devolution Act in April, a measure Burnham also supported, allowing councils to consider existing premises density. In Bowes Park, Enfield, a campaign group opposed a new 24-hour Palace Amusements venue, citing 18 gambling premises within 1.5 miles. Rick Harrison, a campaigner, said: “Businesses think it will increase crime and antisocial behaviours.” Godden Gaming, the operator, stated it conducted a local area risk assessment and that the council does not identify the area as a gambling vulnerability zone.
