How an increase of people taking part in bingo has affected the economy

The British gambling industry continues to contribute over £2.3 billion a year towards the United Kingdom's GDP.

The British gambling industry continues to contribute over £2.3 billion a year towards the United Kingdom’s GDP.

Whether you enjoy slot machines, poker, bingo, blackjack or baccarat, almost every single person within the United Kingdom has tried their luck with online or offline gambling at some point in their lives! As a result, the British gambling industry continues to contribute over £2.3 billion a year towards the United Kingdom’s GDP, as well as supporting approximately 40,000 jobs and generating a total economic footprint of £5 billion.

Furthermore, within the last five years there has also been a significant increase in the number of people frequenting online gambling sites within the United Kingdom. Out of all of these online gambling sites, bingo has become one of the most popular games; and a recent 888 Ladies article revealed: “85% of bingo players worldwide prefer to play online as opposed to in a bingo hall” 

One of the main appeals of these bingo mobile gaming apps and websites is the ability for users to play a wide range of bingo and slot machine games online with family and friends from the comfort of their own homes. Moreover, in the last few years, bingo gaming sites have also increased in popularity due to the implementation of stricter security protocols. By beginning to host multiple payment options, such as PayPal, Neteller and EntroPay, these bingo sites and mobile gaming apps have been able to earn the trust and return custom of a larger customer base than ever before.

As a result of these emerging online gambling trends, leading economists have predicted that bingo sites, mobile gaming apps and other online gambling platforms will cause the UK gambling industry to generate over £20 billion within the next five years. This sizeable figure could have an immense impact on the British economy because, as matters stand, gambling is still the only industry within the UK that pays more in taxes than it generates in profits.

This trend is primarily the result of strict taxation regulations which continue to be imposed on gambling organisations by the British Government. For example, the implementation of the Machine Games Duty tax in 2014 requires gambling organisations which use fixed odds machines to pay a 25% higher tax rate. This increased taxation is expected to generate approximately £335 million for the UK economy over the next five years.

In a similar manner, the introduction of the UK Gambling Bill in 2014 means that it is now mandatory for online gambling casinos to apply for a licence from the UK Gambling Commission and to pay a 15% point of consumption tax if they wish to trade within Britain. Although this increased taxation has resulted in many gambling corporations closing several of their high street shops, the immense popularity of mobile gaming apps in the UK has resulted in the British gambling industry continuing to enjoy an increase in turnover with each passing year. In fact, recent figures illustrate that the UK gambling industry made over £600 million in profits in 2015 and contributed over £1 billion to the British economy.

Praseeda Nair

Praseeda Nair

Praseeda was Editor for from 2016 to 2018.

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