Press Release – Bingo companies have been backed by a group of 54 MPs in their campaign to reduce the gambling tax imposed on bingo to be reduced from 20% to 15%. It looks as though the land-based bingo industry in the UK is reaching crisis point.
On Friday last week, the Boost Bingo campaign was launched with the industry lobby group the Bingo Association asking the government to bring levies on the game of bingo in line with other forms of gambling in the UK. Currently bingo hall profits are taxed at 20% while there’s a 15% tax rate for bookmakers or fixed odds betting and 12% tax on the price of each lottery ticket.
The UK government, however, is reluctant to make the tax reduction as its priority is to narrow the budget deficit.
The Boost Bingo campaign sees it another way though. The Bingo Association is claiming that one bingo club a month is being closed and part of the reason behind that is the high level of tax the clubs have to pay. The Bingo Association has also made reference to the fact
that the land-based bingo industry is being ‘stifled’ as it is not possible to claim back VAT on any maintenance and refurbishment costs.
Whether the rise in popularity of online bingo is another contributory factor to the closure of bingo halls is not certain. Online options for gamers are appealing. To get a sense of what is on offer, you can click here to play online bingo. You’ll be able to be playing within minutes of joining a site, and it’s this convenience factor that may be convincing bingo players to stay at home to play rather than travel to their local bingo hall.
As a consequence of closing bingo hall doors, the number of people employed by bingo clubs has also fallen. Gambling Commission figures show that there were 17,822 employees in the sector in the UK for the financial year 2010-11 and this number had fallen to 16,048 in the year 2012-13.
A loss for the community
Added to the loss of jobs, the Bingo Association says there is also the social side to bingo halls to consider. Many elderly people who would otherwise live isolated lives enjoy going to their local bingo hall to meet their friends and enjoy being in a warm place where they can play bingo and have a reasonably priced hot meal while they are there.
As part of the Boost Bingo campaign, the 54 MPs who are calling for the tax cut will visit the local bingo halls in their areas in the coming weeks.
