UK Prime Minister Lauded For Taking Swift Action Over Retail Gambling

The UK Prime Minister’s move to curb the rise of retail gambling will “save lives” and “breathe life into high streets”. Those are the thoughts of Will Prochaska, the Director of the Coalition to End Gambling Acts.

After taking over the reins from Sir Keir Starmer at No.10 over the summer, Andy Burnham was quick to set out his stall in terms of announcing several eye-catching pledges, including reducing VAT on energy bills. But it seems his approach to the gambling sector is gaining some traction from industry experts.

Reading the room well

Burnham’s antipathy towards the gambling industry has been well documented. His intention, for example, to scrap the ‘Aim to Permit’ ruling is designed to put the power back in council hands when it comes to turning down applications lodged by betting companies seeking to open new land-based venues.

Although recent data provided by the United Kingdom Gambling Commission (UKGC) pointed towards a regression in retail betting over the past 10 years, Burnham has been unwavering with his plan. He is also looking to take Adult Gaming Centres (AGCs) to task and impose greater taxes on them to support business cuts for hospitality venues.

Moreover, the ‘Aim to Permit’ ruling was endorsed by the Social Market Foundation (SMF), a cross-party think tank, suggesting it represented a "welcome step for local democracy and thriving communities”. And now Prochaska has thrown his weight behind Burnham’s initiatives, insisting he can rejuvenate Britain’s flailing high streets.

In an opinion piece for Politics Home, Prochaska wrote:

“When the Starmer administration repeatedly called for the growth of the gambling sector as well as the reduction of harm, the gaslighting seemed to have reached its zenith. Fortunately, Andy Burnham has enough empathy, political nous, and understanding of public opinion to realise something has to be done, and he has acted quickly.”

Swirling economic headwinds

Placed against the backdrop of a potential shake-up to the gambling industry has been the precarious economic landscape. In April, a hike to the remote gaming duty (RGD) paid on online casino bets almost doubled, surging from 21% to 40% of gross gambling yield (GGY).

As of April 2027, the general betting duty paid on online sports bets will rise from 15% to 25% of GGY, with horseracing exempt. Bookmakers have been trying to mitigate the impact, although there has been a swathe of betting shop closures recently, with Paddy Power poised to shut down 100 venues across the UK venues, putting up to 400 jobs at risk.

There appears to be little respite, and bookmakers are bracing themselves for UK Chancellor John Healey’s first Autumn Budget next month. The government suggested there could be serious “carve-outs” with Adult Gaming Centres (AGCs) which could follow on from a significant raising of machine games duty (MGD), with the current tax rate for this financial year set at 5%.

Gravy train coming to an end

While both sides of the betting debate will be watching to see what happens next, Prochaska is adamant Burnham is well positioned to shift the balance of power into government hands.

He added:

“Under Burnham, the gambling sector’s permission to profit from the country’s population and finances could be coming to an end. A sector that’s had its way for far too long may be about to experience the overriding feeling of 99% of its customers - what it’s like to lose.”