Genting UK Alerts Government to Risks of Doubling Machine Games Duty on Casino Slots
Willa Franke · Oct 3, 2026
Genting UK Alerts Government to Risks of Doubling Machine Games Duty on Casino Slots
Genting UK, which runs 32 casinos across the country, has issued a direct warning that 13 of its venues would turn unprofitable or unsustainable if the government raises the Machine Games Duty from 20 percent to 40 percent in the Budget scheduled for October 28 2026, and those sites would therefore require closure. CEO Paul Willcock pointed to the projected loss of 900 jobs along with an annual cost increase of £16 million that would surpass the company's £13.5 million post-tax profit, while the same proposal has already drawn parallel statements from other operators in recent days.
Breakdown of the Proposed Tax Change
The Machine Games Duty applies to slot machines and fixed-odds betting terminals inside casinos, and the planned doubling would hit operators at a time when post-tax margins remain narrow, according to company figures released ahead of the October 28 2026 Budget. Genting UK has calculated that the extra £16 million in annual costs would exceed its entire £13.5 million post-tax profit, leaving no room for the affected venues to continue operating under the new rate. Thirteen locations out of the total 32 would cross into unprofitable territory, prompting the company to state that closure would become the only viable option for those sites.
Employment and Operational Impact
Observers note that the potential loss of 900 jobs would concentrate in regions where the 13 venues currently provide both employment and local economic activity, and Genting UK has presented these numbers to illustrate the scale of the change. The operator has emphasized that the duty increase would apply uniformly, yet the fixed nature of many operating costs means smaller or lower-volume sites would absorb the largest relative burden. Data supplied by the company shows that revenue from slot machines forms a critical portion of overall income, so the 20-percentage-point rise would translate directly into reduced viability without corresponding adjustments in player activity or machine numbers.
Comparison With Earlier Industry Statements
Rank Group, owner of Grosvenor Casinos, released a comparable assessment a few days before Genting UK's statement, indicating that up to 16 of its 47 venues might close under the same tax adjustment. Both operators have referenced the same October 28 2026 Budget date and the same proposed rate of 40 percent, and each has tied the outcome to venue sustainability rather than to broader market conditions. Genting UK's filing highlights that its £16 million cost increase would outstrip the £13.5 million post-tax profit recorded in its most recent reporting period, creating a direct arithmetic case for the closures it has outlined.
Timeline and Government Context
The warning arrives in advance of the October 28 2026 Budget, where the Treasury is expected to set out final rates for Machine Games Duty alongside other fiscal measures. Genting UK has framed its position around teh concrete numbers of 13 venues, 900 jobs, and the £16 million versus £13.5 million profit comparison, rather than around general policy arguments. The company operates 32 sites in total, and the 13 identified locations represent the portion whose financial models would break under the doubled duty, according to internal projections shared publicly.
Revenue and Profit Figures in Detail
Company statements list the £16 million annual cost increase as the direct result of moving from a 20 percent to a 40 percent rate on relevant machine income, and this amount exceeds the £13.5 million post-tax profit by a clear margin. Observers familiar with casino economics note that slot and terminal revenue often subsidizes table games and other amenities, so any reduction in that revenue stream affects the entire venue operation. Genting UK has not specified which exact sites would close, yet it has confirmed that the 13 venues account for a measurable share of both employment and taxable activity within its portfolio of 32 casinos.
Conclusion
The announcement from Genting UK supplies specific figures on venue numbers, job losses, and the relationship between the proposed duty rise and current profitability, all tied to the October 28 2026 Budget decision. The operator's statement aligns with the earlier Rank Group assessment in focusing on the same tax change and the same potential outcome of site closures, while remaining limited to the data points of 32 total casinos, 13 at risk, 900 jobs, £16 million added cost, and £13.5 million post-tax profit. Further details on the final Budget measures will determine whether the projected closures proceed.