Doubling MGD from 20 per cent to 40 per cent would immediately wipe out more than £50m in investment.
Britain’s casinos are preparing to invest more than £200m in venues across the UK following the Government’s landmark modernisation reforms but that investment drive is now at risk from further increases to Machine Games Duty (MGD), the Betting and Gaming Council has warned. New analysis based on investment plans from four of Britain’s largest casino operators shows that doubling MGD from 20 per cent to 40 per cent would immediately wipe out more than £50m of planned investment, with projects across the country cancelled or scaled back.
The warning comes just a day after Genting Casinos announced the closure of its Coventry venue, with more jobs set to be lost after the operator concluded the casino was no longer commercially viable. Genting warned that any further increase in MGD would lead to further closures, job losses and reduced investment in towns and cities across Britain.
The findings show that further tax rises would undermine the very investment ministers sought to unlock through casino modernisation, threatening jobs, regeneration projects and economic growth in communities across Britain.
At a time when the Government is calling on businesses to invest and regional leaders are championing growth in towns and cities, higher taxes would make many of these projects financially unviable and weaken confidence in future investment.
Casinos are an important source of employment across Britain, directly employing more than 10,000 people and supporting a further 3,700 jobs. The sector welcomes around 14 million customer visits each year, contributed £515m in taxes in 2025 and generates an estimated £815 million for the economy.
Many have become major leisure destinations, combining gaming with restaurants, bars, live entertainment and sports viewing, while driving footfall to neighbouring businesses in town and city centres.
The investment plans include projects across the country, with £8 million earmarked for Bristol, £5 million for Cardiff and £5 million for Bournemouth.
Genting has also outlined plans for a major redevelopment of London’s iconic Trocadero, which would create hundreds of jobs and breathe new life into one of the capital’s best-known entertainment destinations.
Grainne Hurst, Chief Executive of the Betting and Gaming Council, said: “The Government’s casino modernisation reforms were designed to unlock investment, support jobs and help regenerate communities across Britain. Our members responded by bringing forward more than £200 million of planned investment in venues across the country.
“These are not just investments in casinos. They are investments in Britain’s towns and cities. They create skilled jobs, drive footfall for neighbouring businesses and support the restaurants, hotels, bars and attractions that help our high streets and city centres thrive.
“Further tax hikes would put this £200 million investment drive at risk, with more than £50 million of projects already identified as likely to be cancelled or scaled back if MGD is doubled.
“That runs completely counter to the Government’s ambition to boost economic growth and encourage private investment across the UK.
“Whether it is Bristol, Bournemouth, Cardiff, Greater Manchester or London’s West End, these projects represent exactly the kind of regeneration ministers say they want to see.
“Our members stand ready to invest, create jobs and support communities across Britain. The Government should build on the success of its modernisation reforms, not undermine it with further tax increases.”
The BGC said further increases to MGD would have consequences far beyond the casino floor – reducing private-sector investment, slowing regeneration and weakening local economies at the very time the Government is encouraging businesses to invest across the UK.
image by Christine Matthews, CC BY-SA 2.0, https://commons.wikimedia.org/w/index.php?curid=13806984