APG Chair Philip McGuigan MLA signed a letter warning that matching tax rates for online betting and gaming gives operators reasons to push customers toward online casino games and slots. Northern Ireland Assembly’s All-Party Group on Reducing Harm Related to Gambling told the UK Chancellor to drop remote gambling tax harmonisation plans. The group warns this change pushes players to products that cause more addiction.
Cross-Party Group Raises Concerns Over Treasury’s Gambling Tax Plans
A cross-party group sent a letter expressing worry about Treasury proposals. Standardising tax rates across different remote gambling products contradicts the Government’s manifesto commitment to reduce gambling harm. Harmonisation gives operators incentives to move customers from sports betting. Lower-risk activities get replaced by online slots and casino games. The group supports Social Market Foundation and Institute for Public Policy Research recommendations instead. Remote Gaming Duty should rise to 50% and General Betting Duty to 25%.
Think tanks calculate that these measures generate up to £2bn ($2.6bn) extra annual revenue. Higher taxes discourage the most harmful forms of online gambling simultaneously. Philip McGuigan, MLA, chairs the group and stressed that remote gambling products create different harm levels. Online gaming and slots bring greater risks than traditional betting methods. Gambling-related harm costs exceed £1bn annually across society. He argued that higher taxation helps offset these societal costs effectively.
Northern Ireland’s Growing Concerns Over Gambling Harm
The letter highlights that Northern Ireland faces particular concerns about gambling. The UK’s highest rate of problem gambling exists without Great Britain’s regulatory protections. Outdated legislation leaves Northern Ireland vulnerable to gambling harm. Remote gambling operators often base their operations offshore currently. The group contends they pay less tax than other jurisdictions require. These companies contribute minimal employment or supply chain benefits to the wider economy.
Treasury’s harmonisation plans face growing policy debate from this intervention. Reform supporters claim the tax system becomes simpler through changes. Critics warn that addiction worsens and sectors like horse racing face destabilisation risks.
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