The last few years have seen a significant period of change in the gaming industry from a structural and regulatory point of view.
The growing importance of online and mobile channels has led to many European jurisdictions regulating (or re-regulating) gaming legislation (which in many cases has not historically accounted for online gaming activity).
European jurisdictions have taken a wide range of approaches with regards to how to regulate and tax online gaming (with some tax regimes being criticised and in some cases legally challenged by operators as being anti-competitive). Specifically in the UK, many large bookmakers have moved their online operations offshore in recent years to benefit from the lower rates of tax in locations such as Gibraltar and Malta. But, the planned introduction of a point of consumption tax on online gaming in the UK (as announced in the Budget) means that duty will be payable on all bets made by UK customers irrespective of where the online operator is located. Although the rate of tax has not yet been set, this forthcoming legislation is likely to have a significant impact on the sector.
In the recent budget, a higher duty rate of 20% on machines was introduced. This will not only have a major impact on the traditional UK betting and gaming industry but on pub chains and leisure companies as a whole.
Our UK gaming practice acts as a centre of excellence for our global network, and provides industry-focused assurance, tax, and advisory services to businesses across the gaming industry.
Our experience in the gaming sector includes multiple engagements where we have provided:
Clients include numerous gambling operators (casino, gaming machine, bingo and online gambling operators among others), financial institutions, and public bodies in various countries (including the UK, France, Germany, Italy, Greece, the Netherlands, Eastern Europe, South Africa, Macau, Canada, and the U.S.)