The UK's gambling industry has reported a significant increase in revenue, generating a total of £16.8 billion from consumers in the year to March, after paying out prizes. This represents a substantial 7.3% rise compared to the previous year, according to official statistics from the Gambling Commission.
Online Sector Fuels Market Growth
The regulator confirmed that the surge in the industry's 'gross gambling yield' (GGY) was predominantly driven by the online sector. Remote gambling, which includes casino, betting, and bingo, saw its revenue grow by more than £900 million, reaching an annual total of £7.8 billion.
This means the remote sector now accounts for 46% of the entire Great Britain gambling market. In contrast, the traditional land-based sector held a 29% share with a GGY of £4.8 billion.
Lotteries and Potential Tax Reforms
Licensed lotteries, including the National Lottery and various society lotteries, made up the remaining 25% of the market, contributing £4.2 billion to the overall GGY.
These financial results emerge amidst reports that the Chancellor is considering a major policy shift. As part of the upcoming Budget, there could be an announcement to increase the tax rate applied to bookmakers' online earnings.
This potential move is supported by recommendations from two influential think tanks, the IPPR and the Social Market Foundation (SMF). They have advised that the Remote Gaming Duty (RGD)—the largest duty on the fast-growing online sector—should be more than doubled, rising to 50%.
