Scottish MP calls for government to remove double taxation from bingo products

Spokesperson for the SNP, Stewart Hosie MP has come out in support of the bingo industries fight to eliminate double taxation on bingo products.

Earlier this year the government refused to act upon to calls from the UK Bingo industry to eradicate VAT on Bingo charges altogether, and in response to the online campaign initiated by the Bingo Association against VAT on bingo, the government declared that they were opposed to bringing charges in line with casino’s and betting shops, maintaining that ‘tax is not at the root of the bingo industry's problems and we do not believe there is a tax solution.’

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Despite being deemed the softest means of gambling this refusal ensured that bingo remains the sole mainstream gambling product that is doubly taxed, by VAT and additionally gross profits taxation. 

Now MP Stewart Hosie has penned a letter to the Treasury Minister of the government, declaring his support for the cause and demanding an end to the double taxation legislation.

Mr Hosie confirmed in a statement:-

“The UK Government’s treatment of the bingo sector is incredibly unfair and action needs to be taken to help the sector at this very difficult time.

Licensed bingo remains the only gambling product subject to double taxation, which results in an effective tax rate of 28.2 per cent compared with 15 per cent for most other gambling products.

Bingo is great fun but its importance cannot be underestimated. Bingo halls provide a safe and friendly environment for the whole community but especially older people to meet and socialise.

The Government chose not to remove double taxation from bingo halls in 2003. The SNP have been keeping up the pressure to right this ever since and we will continue in the run up to the Pre-Budget statement.

For the sake of fairness and for sound economic reasons, the UK Government must act to remove double taxation from bingo.”

25th November 2008