No Change for Bingo Budget
14th March, 2008
MP Alistair Darling, who has been Chancellor of the Exchequer since June 2008, yesterday set the new Government budget.
The Chancellor of the Exchequer is the British Cabinet Minister responsible for all economic and financial matters and also sets the Budget and taxations.
Many in the bingo industry had hoped that Alistair Darling would address the VAT and double taxation laws set for the bingo industry but to no-one’s dismay he hasn’t, despite the support of many MPs.
No help has been given to the industry but instead he increased the tax burden with higher rates on the Amusement Machine License Duty.
Bingo Association Chief Executive Paul Talboys described the relentless taxation on the bingo industry as ludicrous and said that the fact that nothing was remedied was a ‘slap in the face’.
He said: “There is no reason why they should continue to be penalised by double taxation when other gambling products pay only a single tax. The industry is struggling to deal with the combined impact of double taxation, the removal of gaming machines and the impact of the smoking ban. In the last fourteen months alone some 43 clubs have closed. This lack of action will now ensure further club closures with attendant loss of jobs and decrease in Treasury receipts.”
He continued with statements regarding all the following but no action has been taken or likes like it will be taken in the foreseeable future:
• The industry is struggling to deal with the combined impact of double taxation, the removal of gaming machines and the impact of the smoking ban.
• The lack of action is forcing closures on the bingo industry which in turn is causing job losses across the UK.
• Failure to remove VAT will cost The Treasury in the long run. For each club that closes, the Exchequer loses around £700,000 per year in revenue across a wide range of taxes.
