Bookmakers Deliver Warning Letter to Chancellor on Machine Games Duty Increase

Major operators in Britain's gambling sector sent a letter earlier this week to Chancellor John Healey, and the document lays out projected consequences from a proposed increase in Machine Games Duty to 40 percent as part of the upcoming budget. The correspondence comes from senior figures at Entain, Flutter, Bet365, Betfred, and William Hill, and it details estimates that between 690 and 1,470 betting shops along with 28 to 34 casinos could close if the change takes effect.

Those same projections include job losses ranging from 11,600 to 15,900 positions across the affected outlets. Observers note that the figures build directly on earlier reductions in the physical retail network, where more than 600 shops and 10,250 roles disappeared after Remote Gaming Duty rose from 21 percent to 40 percent in April 2026.

Details of the Proposed Tax Adjustments

The letter urges the government to pause additional tax measures until the full effects of the April 2026 duty change can be measured. One such measure highlighted is the planned lift in General Betting Duty to 25 percent scheduled for next April. Industry representatives argue that successive increases without interim review risk compounding closures in both betting shops and casino venues.

Data presented in the correspondence points to specific regional impacts, including the possibility that half the betting shops in Prime Minister Andy Burnham's Makerfield constituency could shut under the new Machine Games Duty rate. The operators frame the warning as a direct response to cumulative fiscal pressure rather than isolated policy shifts.

Executives from the five major groups coordinated the letter to emphasize shared exposure across land-based operations. The document arrives in the weeks leading into budget deliberations, and it positions the 40 percent Machine Games Duty rate as a threshold that would render many locations unviable. Industry analysts tracking the sector note that the estimates cover both direct closures and the secondary effects on supply chains and local economies tied to those venues.

Regional and Constituency-Level Projections

Particular attention falls on Makerfield, where the letter projects that roughly half the existing betting shops could disappear. The operators include this example to illustrate how national tax policy translates into localized outcomes, especially in areas already experiencing retail contraction since the spring 2026 duty adjustment. Similar calculations appear for casino sites, with the 28 to 34 potential closures distributed across multiple regions.

The correspondence does not specify exact locations beyond the Makerfield reference, yet it supplies aggregate ranges that allow policymakers to model different scenarios. Those who have reviewed the submission point out that the job-loss band of 11,600 to 15,900 reflects uncertainty over how many premises would reach the point of closure versus those that might reduce hours or staff numbers short of full shutdown.

Call for Assessment Before Further Changes

Signatories request that ministers defer the General Betting Duty increase until data from both the April 2026 Remote Gaming Duty rise and any new Machine Games Duty adjustment can be evaluated together. The letter frames this sequencing as necessary for understanding cumulative impacts on employment and venue viability. No timetable for such an assessment is proposed in the document itself, but the operators present the pause as a practical step before additional rate changes take effect.

Conclusion

The letter submitted to Chancellor John Healey consolidates operator forecasts around the proposed 40 percent Machine Games Duty rate and places those forecasts alongside the record of prior closures. By linking national tax policy to constituency-level examples and quantified ranges for shops, casinos, and jobs, the correspondence supplies specific data points for budget discussions scheduled in the coming weeks. The request to pause further adjustments until impacts are measured forms the central recommendation within the document.