This story was published more than 9 years ago.
During a budget speech this week, British Chancellor George Osborne announced that the UK government will tax offshore casino operators that access the country's gambling market.
In his speech to the Commons, Osborne said “Ninety per cent of online gambling consumed by our citizens is now supplied from outside the UK. And the remaining UK operations are under pressure to leave. This is clearly not fair – and not a sensible way to support jobs in Britain.”
Osborne also noted that taxing offshore operators would create “a more level playing-field and protect jobs.”
Treasury estimates say that the change will create tax revenues of £55 million in 2014-15, £240 million in 2015-16, and £270 million in 2016-17.
A Treasury report reads:
"The current taxation regime for remote gambling has allowed operators to avoid paying UK gambling duties by basing their operations abroad. To broaden the tax base and provide a fairer basis for competition between UK and overseas remote gambling operators, Budget 2012 announces that the Government will move to a tax regime that ensures operators anywhere in the world pay gambling duties on gross profits generated from customers based in the UK. This is in line with the actions of several other European countries."
"2.146 Remote gambling taxation – The Government will introduce a consumption based taxation regime for remote gambling, subject to consultation on the detail.”