Genting UK CEO Highlights Risks from Proposed Machine Games Duty Increase Ahead of October Budget
Tina Becker · Oct 5, 2026
Genting UK CEO Highlights Risks from Proposed Machine Games Duty Increase Ahead of October Budget
Paul Willcock, CEO of Genting UK which operates 32 casino venues across the country, issued a direct warning about the effects of doubling Machine Games Duty from 20% to 40% in the Budget scheduled for October 28. The company calculated that this adjustment would render 13 of its venues unprofitable and force closures while placing 900 jobs in jeopardy. Annual costs to the operator would reach approximately £16 million according to internal estimates, a figure that surpasses the £13.5 million post-tax profit recorded in the prior year.
Breakdown of Financial Projections
Company statements detail how the tax rise targets gaming machines specifically and would apply uniformly across land-based sites. Genting UK provided figures showing the duty increase alone would exceed current profitability levels, creating an immediate shortfall that no operational adjustments could offset without reducing the number of open locations. Data from the operator indicates that affected venues generate lower margins once the new rate takes effect, leading to the conclusion that continued operation becomes unsustainable.
Employment and Operational Consequences
Observers tracking the sector note that the projected closures would concentrate in regions where footfall already faces pressure from competing entertainment options. The 900 positions at risk include roles in customer service, technical support for machines, and venue management. Genting UK emphasized that these roles support local economies where the casinos operate, though the company stopped short of naming specific sites in its initial statement.
Parallel Concerns from Rank Group
Rank Group, which runs Grosvenor Casinos and Mecca Bingo outlets totaling 47 venues, released its own assessment shortly before Genting UK's announcement. Executives there projected that up to 16 sites could close under the same tax proposal, resulting in the loss of 1,800 positions. Both companies referenced similar revenue structures reliant on machine gaming, and their separate analyses reached comparable conclusions about site viability once the duty doubles.
Origin of the Tax Proposal
The measure originates from a recommendation issued in July by the Social Market Foundation think tank. That report examined options for increasing revenue from gambling activities and singled out Machine Games Duty as an area where rates could rise without immediate disruption to remote betting channels. Government officials have not confirmed whether the full doubling will appear in the final Budget documents, yet the proposal remains under active consideration according to multiple industry sources.
Timeline and Market Context
The October 28 Budget date places the decision within the current fiscal planning cycle, with implementation potentially beginning in the following tax year. Genting UK and Rank Group both operate portfolios that include a mix of high-volume urban sites and smaller regional venues, a structure that amplifies exposure to machine-specific taxation. Historical data from the sector shows that previous duty adjustments prompted operators to review machine mixes and promotional spending, yet the scale of the current proposal exceeds those earlier changes.
Conclusion
The statements from Genting UK and Rank Group provide concrete estimates of venue numbers, job impacts, and annual cost increases tied directly to the Machine Games Duty adjustment. These figures stand alongside the July recommendation from the Social Market Foundation and the fixed Budget date of October 28. Industry participants now await the final text of the Budget to determine whether the proposed rate change proceeds as outlined.