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BGC Warns UK Government: Mass Job Losses Loom with Machine Games Duty Hike

By jili tutorial · October 13, 2026

BGC Warns UK Government: Mass Job Losses Loom with Machine Games Duty Hike

Introduction: A Dire Warning for the Gambling Industry

The Betting and Gaming Council (BGC) has issued a stark warning to the UK government, cautioning that thousands of jobs could be lost if the Machine Games Duty (MGD) is increased to 40%. In a recent statement, the BGC emphasized that such a move could lead to widespread casino closures and severe economic repercussions. This warning comes amid speculation that Chancellor John Healey might propose doubling the MGD rates in his upcoming Autumn Budget.

The Immediate Threat: Job Losses and Venue Closures

According to the BGC, up to 3,800 jobs could be at risk if the MGD is raised to 40%. This policy change would not only endanger livelihoods but also result in the permanent closure of numerous venues across the country. BGC CEO Grainne Hurst stressed the gravity of the situation, describing it as an “existential threat” to the industry. The potential closures would disproportionately affect regions in Northern England, Scotland, and the Midlands, areas that are already grappling with economic challenges.

Impact on Local Economies

The BGC highlighted that casinos in Britain serve over 14 million customers annually and contribute £515 million in taxes, while generating £815 million for the economy. A significant increase in MGD would likely lead to a reduction in these figures, as closures would diminish both tax revenue and economic activity.

Focus on Relatable Issues: Job Losses and Community Impact

In contrast to previous warnings about tax hikes pushing players toward the black market, the BGC has chosen to focus on issues that resonate more broadly with the general public. The potential closure of casinos would not only result in job losses but also disrupt community services and investments. Casinos often serve as hubs of activity and employment, particularly for young people, women, part-time workers, and those in the hospitality and leisure sectors.

Statements from Industry Leaders

Richard Harris, CEO of the Rank Group, which owns well-known brands like Mecca and Grosvenor, has expressed concerns similar to those of the BGC. He warned that a third of the company’s establishments might have to close if the MGD is increased. Fred Done, Founder and Chairman of Betfred, has gone further, predicting that such a tax hike could lead to the demise of retail betting by 2030.

The Broader Implications: A Call for Caution

The BGC’s warning underscores the delicate balance between taxation and industry viability. While governments seek to maximize revenue, overly burdensome taxes can stifle economic growth and lead to job losses. The BGC has called on Chancellor Healey to consider the broader implications of his proposed policy, urging him not to gamble with thousands of British jobs and the future of an entire industry.

Historical Context and Future Outlook

The BGC also pointed out that many former casino sites remain vacant, serving as a reminder of the long-term impact of closures. Once a casino shuts its doors, the jobs, investment, and opportunities it provided are often lost permanently. The council has urged policymakers to recognize the irreversible consequences of their decisions and to avoid policies that could lead to such outcomes.

Conclusion: A Plea for Prudent Policymaking

In conclusion, the BGC’s warning serves as a poignant reminder of the interconnectedness of tax policy and economic health. The council has made a compelling case for cautious policymaking, emphasizing the need to protect jobs and communities while ensuring the sustainability of the gambling industry. As the government prepares to announce its Autumn Budget, it faces a critical decision that could have far-reaching consequences for thousands of workers and businesses across the UK.