TLDR Remote Gaming Duty (RGD) rises from 21% to 40% in April 2026, nearly doubling overnight Online Betting Duty increases from 15% to 25% in 2027 Government expects to raise an extra £1.1bn per year by end of the decade Operators warn of reduced odds, fewer bonuses, and squeezed margins Industry fears players will shift to unregulated offshore platforms, undermining tax revenue
The UK government is set to nearly double the Remote Gaming Duty from 21% to 40% starting April 2026. The tax applies to online casino products including slots, table games, and crash games.
A second increase will follow in 2027, when Online Betting Duty rises from 15% to 25%. Remote horse racing, spread betting, and pool betting are excluded from both rises.
The UK gambling industry was valued at £16.8 billion between April 2024 and March 2025. During that same period, 47% of UK adults participated in some form of gambling.
The government says the changes will generate an additional £1.1bn per year by the end of the decade. Officials argue the sector can absorb higher taxes given continued digital growth.
The restructuring also aims to close the gap between land-based and online gambling taxation. Physical betting shops currently pay General Betting Duty at 15%, while online operators now face 40% on casino products.
That gap is creating an unusual incentive. Operators taxed at 40% on digital slots but only 15% on physical machines may shift marketing spend toward high street shops.
However, physical shops face their own pressures. Rising staff costs and rent, particularly in cities like London, mean the bricks-and-mortar recovery is far from guaranteed.
.@CFOT_UK warn that the proposed UK gambling tax increase is not about fairness – it’s a move that risks harming both sides of the partnership.
They