Gordon Brown Calls for Machine Games Duty Rise on Category B Slots
Olivia Long · Aug 27, 2026

Gordon Brown Calls for Machine Games Duty Rise on Category B Slots

Former UK Prime Minister Gordon Brown has called for an increase in Machine Games Duty on category B slot machines located in adult gaming centres and betting shops, a move he estimates could generate up to £500 million to offset rising household energy bills, while he made clear that bingo halls and pubs would remain unaffected by the proposed changes.
Details of the Tax Proposal
Brown outlined the plan in public statements that positioned the duty adjustment as a targeted revenue source for energy cost relief, and he predicted that current Prime Minister Andy Burnham would adopt comparable policies in the near term, yet the suggestion drew immediate responses from sector representatives who highlighted potential downstream effects on employment and related industries. Category B machines, which operate under existing Machine Games Duty rules, form a core revenue stream for betting shops and adult gaming centres, so any rate adjustment would directly alter operator costs and player pricing structures across those venues.
Revenue Estimates and Energy Bill Context
The £500 million figure stems from modelling that assumes a higher duty rate applied only to the specified machine category in non-pub, non-bingo locations, and observers note that such proceeds could flow into public funds earmarked for household support programs amid ongoing energy price pressures. Data from related polling referenced in June 2026 coverage shows that roughly two in five Britons back tax increases on the most harmful slot machines when the goal is to boost public finances by up to £450 million, which aligns closely with the scale Brown described.
Industry Body Responses
The Betting and Gaming Council warned that the higher duty would accelerate betting shop closures, reduce staffing levels, and shrink contributions to the racing levy along with media rights income for horseracing, while the British Horseracing Authority echoed those points and added that an expanded black market could emerge if players migrate to unregulated options. Those organisations emphasised that betting shops already operate under tight margins, so further tax pressure might force site rationalisation in high-street locations where footfall has declined steadily in recent years.

Predicted Policy Direction Under Current Leadership
Brown framed his recommendation as consistent with measures he expects Burnham to pursue, thereby linking the tax idea to broader fiscal strategies aimed at energy affordability, and this forward-looking element added a political dimension that industry groups quickly addressed by stressing the need for balanced regulation that protects licensed operators. Experts have observed that any shift in Machine Games Duty rates historically influences machine deployment decisions, stake levels, and venue viability, which explains why the Betting and Gaming Council and British Horseracing Authority issued coordinated cautions about closures and levy shortfalls.
Potential Market and Employment Effects
Accelerated closures could concentrate remaining licensed gambling activity in fewer outlets, thereby altering local economies that depend on betting shop presence for both direct jobs and secondary spending, while reduced racing levy payments would flow through to prize money and breeding programs that sustain the thoroughbred industry. Industry modelling cited in the statements projects measurable job losses if duty rises trigger widespread site shutdowns, and the same projections flag an uptick in illegal betting channels that currently sit outside regulatory oversight and tax collection systems.
Conclusion
The proposal remains a single policy suggestion at this stage, yet the reactions from the Betting and Gaming Council and British Horseracing Authority illustrate how tax adjustments on category B machines intersect with employment, horseracing funding, and enforcement challenges. Observers continue to track whether the current government will incorporate similar duty changes into upcoming fiscal plans, particularly as energy bill pressures persist into the latter half of 2026.