Bingo Tax Hopes Shattered

Over the past few months the Bingo Industry has opposed consistently to lower the UK bingo tax.  Unfortunately the government has declined the protest to keep tax at 15% and have announced that it will remain at 22%.

During last week’s 2009 budget, MP’s agreed that the bingo industry will no longer need to pay VAT.  However, the tax rule will now remain at 22%, meaning that there will be more job losses and more bingo halls closing and all down to the lack of MP’s votes.

Last month MP’s who were in agreement with the bingo tax being lowered gathered outside The Houses of Parliament with over 500 campaigners for the Bingo Industry. Sadly, their efforts weren’t effective enough to convince more MP’s to join their protest. The amendment to the financial bill was defeated by 283 votes to 83.

Scottish National Party Treasury Spokesman, Stewart Hosie MP gave his opinion regarding the recent decision: ‘Labour has hung the bingo industry out to dry. This amendment was a chance to do the right thing by the bingo industry and they have failed. This unfair taxation is incredibly damaging to this industry, forcing clubs to close and jobs to be lost across the country. These are difficult times for the entire sector and the UK government should be supporting the sector rather than contributing to its hardship.’

‘Other gambling products are taxed at 15% but the UK government insists on making licensed bingo an exception to the rule. Financial problems in the industry will not only mean job losses, but also the loss of important places to meet and socialize especially in small towns, closing the bingo club can rip a social hub out of an area.’

‘Labour could have held out a helping hand to the bingo industry today but instead they walked by on the other side.’

The new ruling is expected to enhance further closure and industry leaders Rank and Gala Coral are expected to suffer the most.