UK gaming tax intake has risen in H1 of 2022-23. For the six months to September 30, provisional betting and gaming tax revenue was up by 11% from £1.46 billion ($1.63 billion) to £1.62 billion ($1.81 billion) when paired against the same period the previous year. The Lottery Duty, which represents 30% of the total, was the largest contributor to this figure, closely followed by the Remote Gaming Duty at a 28% contribution.
However, it is worth noting both duties declined both in absolute terms and in the percentage of the total when compared to the same period last year. Seasonal variation and a decreased month-to-month stability in the post-pandemic gaming landscape have led to 2022 figures showing a high degree of variability on a monthly basis.
The country’s tax authority – HM Revenue & Customs – confirmed the figures, which were first reported by the UK Gambling Commission (UKGC). Breaking down the figures shows revenue from lottery products delivered £497 million ($556.6 million), while online gaming contributed £501 million ($561 million) in taxes.
The return of land-based gaming operations is what drove the growth in tax payments, with taxes from gaming machines rising from £106 million to £267 million ($118.7 million to $298.9 million). Concurrently, the land-based casino segment posted £76 million ($85 million) in general gaming taxes. While the vertical saw a jump from H1 2021, the amount is still below pre-pandemic levels.
Fixed-odds and pool betting contributed £313 million ($350.3 million) in taxes, down 6% from last year; while General Betting Duties from sports betting amounted to £309 million ($345.8 million) for remote and retail fixed-odds wagering.
Since the 2020-21 financial year, monthly receipts have been more “unpredictable,” HMRC said, and instead receipts across each quarter are now “more representative.” Thus, figures exhibited a large range: while £500 million ($559.6 million) of the total was posted in April, September just delivered £93 million ($104 million).
While the fall recorded for Remote Gaming Duty likely reflects wider trends in online gambling, with many large operators having reported lower UK revenue in Q2, taxes in Machine Games Duty, Gaming Duty and Bingo Duty were aided by a lack of closures and disruption in the past six-month period.
While the future of the UK’s long-delayed gambling review still hangs in the air, this doesn’t mean the industry isn’t already seeing some changes in motion. Many operators have reported increased self-imposed consumer protections ahead of the UK gambling white paper which, along hits to consumer spend and tough comparables, has taken its toll on their figures.
Source: Read Full Article