Gambling Firms Outline Potential Effects of Machine Games Duty Adjustments
Anna Long · Oct 18, 2026
Gambling Firms Outline Potential Effects of Machine Games Duty Adjustments
Entain and Rank Group have issued statements ahead of the autumn Budget scheduled for October 28, 2026, cautioning that further increases to machine games duty could affect their operations across the United Kingdom. The companies, which operate Ladbrokes, Coral, Grosvenor Casinos and Mecca Bingo, point to the remote gaming duty increase implemented in April 2026 as context for their position, noting that the rate moved from 21% to 40% at that time.
Company Positions on Tax Policy
Entain and Rank Group argue that raising machine games duty on fruit machines, roulette machines and slots would contribute to venue closures, job losses, reduced investment and ultimately lower overall tax receipts. Both firms reference economic viability challenges that have already led to specific site decisions, while acknowledging that revenue in certain areas showed growth despite the broader tax environment. Observers note that these statements arrive as policymakers prepare to finalise fiscal measures for the coming period.
Recent Operational Changes at Rank Group
Rank Group reported closing three casinos during the third quarter of 2026, specifically the locations in Swansea, Reading Central and Sunderland. Company representatives attributed the decisions to ongoing questions of economic viability following the remote gaming duty adjustment. Data from the firm indicates that these closures occurred amid efforts to maintain profitability across its remaining estate, which includes Grosvenor Casinos and Mecca Bingo venues. Figures released alongside the warnings show mixed performance, with some revenue streams demonstrating resilience even as physical sites faced pressure.
Entain's Broader Market Context
Entain, the parent of Ladbrokes and Coral, has aligned with Rank Group in highlighting risks associated with additional tax rises on land-based machines. The company notes that the combination of existing duty levels and potential further changes could influence future investment decisions across its portfolio. Industry statements from both operators emphasise that sustained increases may reduce the capacity for capital expenditure on venue upgrades and staff retention programmes. Reports indicate that these concerns are being communicated directly to government officials before the October 28 deadline.
Tax Receipt and Investment Considerations
The firms contend that higher machine games duty rates could result in lower total tax contributions over time because reduced venue numbers and staffing levels would shrink the taxable base. Analysis referenced in their communications projects impacts on an investment pipeline estimated at around £200 million, though the precise allocation of those funds remains tied to policy outcomes. People familiar with the sector observe that similar patterns have appeared in previous duty adjustment cycles, where initial revenue gains were later offset by contraction in physical operations.
Timeline and Policy Background
The remote gaming duty change took effect in April 2026, raising the rate to 40% and prompting subsequent reviews of land-based taxation. The upcoming Budget on October 28, 2026, now serves as the next focal point for decisions on machine games duty. Both companies have timed their public statements to coincide with this schedule, providing data on closures and revenue trends to support their arguments. External coverage of the announcements appears on platforms such as ITV News, which summarised the joint warnings.
Conclusion
The statements from Entain and Rank Group present specific operational data alongside projections about future tax receipts and employment levels. As the October 28, 2026, Budget approaches, these communications form part of the information available to policymakers considering adjustments to machine games duty. teh reported closures in Q3 2026 and revenue figures cited by the companies supply concrete examples within the wider discussion of sector taxation.