The UK Treasury is believed to be considering an online gaming tax rate of 2% for operators licensed under the new Gambling Bill, according to two well-placed sources.
It is believed the government may consider a low tax rate to encourage more firms to domicile in the UK, after listening to the views of various industry representatives.
Operators considering a licence in the UK have expressed their concerns that the tax rate could resemble the 15% imposed on sports betting profits.
And both industry associations and leading operators have lobbied the government to keep the tax rate in line with existing egaming jurisdictions.
The chief executive of one of the industry’s largest firms said a rate of 2% could encourage him to consider redomiciling his gaming servers in the UK.
“I would certainly look at it at 2%,” Nigel Payne, chief executive of Sportingbet, said.
“It is going to be a difficult decision for everybody, so anything more than 2% will make people turn away.”
source : egr magazine
