Bingo companies benefit from tax reduction

The Conservative poster announcing that they were cutting bingo tax.

Tax reductions for bingo companies came into effect on Monday.

Hundreds of bingo clubs will benefit from the reduction in bingo duty as the new tax rate of 10% comes into effect.

Members of the Bingo Association say that they are committed to reinvesting the tax saved into clubs across the country.

The government announced at Budget earlier this year that the tax paid on bingo would be reduced from 20% to 10%.

Several bingo companies have praised the move.

The Rank Group, which operates Mecca Bingo clubs, announced that it will open three new bingo halls, and restart its modernisation programme, which will create more than 200 new jobs within the company.

Gala Bingo has also announced that it will open a new club as a result of the tax reduction, leading to the creation of 50 new jobs, and protecting nearly 200 jobs elsewhere in the company.

Exchequer Secretary to the Treasury, David Gauke, said:

“From today, the lower rate of bingo duty will benefit clubs across the country.

“Bingo plays an important role in local communities, and I hope that the lower rate of tax will encourage investment and help these clubs to thrive.”