Rank Urges Treasury to Create Flat Gambling Tax
Rank today called for a radical overhaul of the taxation system for betting, suggesting that a flat 15% rate would make sense of a hotchpotch regime.
Seven different tax rules cover sports betting, bingo, casino games, card room games, amusement machines and the football pools.
The betting group's chief executive, Ian Burke, said: "The gaming and betting activities of UK consumers are subject to a patchwork quilt of taxation without any apparent logic or relationship to social policy.
"Some games are subject to a multiplicity of tax rates, depending on where and how they are played."
The highest taxes are paid by casinos, which have the best supervision and lowest levels of underage gambling, Burke noted. Offshore betting, a growing industry, pays zero tax.
Burke has been chief executive of the gaming group for four years this week. Today he was able to unveil annual results showing his turnaround is going well.
Revenue for 2009 is up 3.4% to £540 million, though profits slumped 3.8% to £58 million due to higher taxes. Rank resumed dividend payments of 1.35p after a two-year gap.
Burke said: "There is a sense of momentum in our business."
Debts have been cut by £40 million to £187 million.
Source: This Is London
