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UK to raise remote gaming taxes as new betting duty arrives in 2027

The UK will raise its remote gaming duty from 21% to 40% starting April 2026, according to the latest autumn budget. A new remote betting duty will also take effect in April 2027 at 25%, replacing the current 15% rate. The government expects these changes to significantly increase gambling tax revenues.

The new betting duty applies only to online betting profits and excludes spread betting, pool bets and horse racing wagers. Self-service betting terminals will also remain exempt from the updated rate. The Treasury launched consultations earlier this year on merging the previous three-rate tax system.

Gambling tax receipts are projected to reach £4 billion in 2025–26, representing a 9.8% year-on-year increase. By 2026–27, receipts are forecast to jump by another 24.8% to £5 billion. Other measures include abolishing the 10% bingo duty and freezing casino gaming duty bands for 2026–27.

Officials said operators are expected to pass up to 90% of the higher taxes to consumers, reducing demand and lowering projected revenue by £500 million by 2029–30. Industry groups previously warned that higher remote betting duties would negatively affect retail and horse racing sectors. The Treasury Select Committee later recommended taxing different gambling verticals according to their risk profiles.

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