UK Casino Operators Flag Major Concerns Over Machine Games Duty Rise

Kai Griffin · Oct 22, 2026

UK Casino Operators Flag Major Concerns Over Machine Games Duty Rise

UK casino floor with gaming machines and staff preparing for operations

Leading figures in the UK land-based casino sector have issued direct warnings about the effects of a possible increase in Machine Games Duty, with rates potentially moving from the current 20 percent to 40 percent in the autumn Budget scheduled for 28 October 2026, and executives from Genting Casinos along with Rank Group have outlined how such a change could affect venue operations across the country while also putting a reported £200 million investment pipeline at risk over the next five years.

Details on the Proposed Tax Adjustment

The Machine Games Duty applies to gaming machines in casinos and other venues, and operators note that a doubling of the rate would come at a time when several locations already face economic pressures that have led to recent closures, including Rank Group sites in Swansea, Reading, and Sunderland, while the sector argues that recent land-based reforms need more time to show results before additional fiscal measures are introduced.

Statements from Industry Executives

Genting Casinos Chief Operating Officer Paul Willcock and Rank Group Chief Executive Richard Harris have both highlighted specific risks tied to the potential duty hike, explaining that higher costs could force venue closures and associated job losses while also stopping planned capital projects that form part of the £200 million pipeline, and they point to the sector's possible contribution to broader UK economic growth targets as a reason for maintaining current tax settings in the short term.

Recent Venue Closures and Economic Context

Rank Group has already shut three Grosvenor venues in response to existing financial conditions, and industry representatives state that an MGD increase would accelerate similar decisions at additional sites because machine revenue forms a core part of overall income, while data from operators shows that venues in regional locations often operate on thinner margins than those in major cities, making them particularly exposed to tax rises.

Gaming machines in a UK casino venue with players and staff

Executives emphasize that the timing matters because the government has recently introduced regulatory adjustments for land-based casinos, and they argue these changes require a period of stability to attract investment and create employment, whereas an immediate duty increase could reverse early positive effects and reduce the number of operating venues available to customers.

Investment Pipeline and Growth Role

The £200 million figure covers projects spanning the next five years, including venue upgrades, new technology installations, and potential expansions, yet operators report that board-level decisions on these commitments are now on hold pending clarity from the 28 October 2026 Budget, and they note the sector's alignment with government aims around economic activity and employment in hospitality and leisure industries.

Representatives have urged ministers to review the full impact of the duty change through consultation with affected businesses before any final decision, pointing out that machine gaming contributes measurable tax revenue under the existing 20 percent rate and that abrupt shifts could shrink the overall tax base if venues close and player activity moves elsewhere.

Conclusion

Operators continue to monitor developments ahead of the autumn Budget date, and they maintain that the combination of recent closures, threatened investment, and employment impacts forms the basis for their request that Machine Games Duty remains unchanged while earlier reforms are given time to work through the market.