It is widely known that the land based bingo industry in the UK is in real trouble. Problems emerged soon after the national smoking ban went into effect. Bingo halls saw a marked decline in attendance and tried several tactics to address the smoking ban without much success. One bingo provider went so far as to offer bingo cruises where bingo players could puff away in waters not subject to UK laws.

Another real problem for brick and mortar bingo halls is double taxation. The double tax was recently removed but the UK government raised the tax on bingo to an astounding 22% making bingo the highest taxed form of gambling in the country. Formerly bingo halls paid a tax and a VAT but when the government decided to abolish the taxes in the 2009 budget but then proceeded to impose the 22% tax rate.

Obviously those in the bingo industry were displeased along with bingo players. Many bingo halls are now encouraging players to write and email their respective MP’s. Many bingo players can not understand why the UK government is singling out this relatively innocuous form of gambling for higher taxes. At the present time most bingo providers have no plans to pass along the higher operating costs to players many of whom are pensioners.

Bingo clubs in Scotland and Wales have been hard hit by the new tax. MP’s from Scotland and Wales are warning that bingo halls in both places are facing closure from the onerous tax policies. Scottish MP Stewart Hosie stated, “This tax hike on bingo which is a highly popular social activity, when duty on other forms of gambling including sports betting, casino and online poker and football pools will remain at 15% is unfair. In scores of communities across Scotland, the bingo club is a vital part of the social fabric. It offers good quality, safe entertainment and social facilities providing fun, enjoyment and friendship for many people, particularly women. This Westminster tax-hike in the midst of the deepest recession for more than 60 years will affect many in my constituency and across Scotland.”

In many rural locales bingo is the chief form of inexpensive entertainment available to pensioners and the closure of local bingo clubs would leave many pensioners without opportunities for the social interaction that bingo provides. It is widely hoped that the UK government will reconsider the high taxes that threaten bingo halls across the UK.