BGC calls for rethink on business rates impacting British betting and local economies

The Betting and Gaming Council (BGC), is protesting government business rates at a time of heightened pressure for British betting shops, the wider gaming sector and the national economy.

Business rates are a form of business tax charged to ‘non-domestic properties’, essentially a corporate version of the council taxes paid by owners and renters of domestic houses and flats. Rates apply to shops, pubs, warehouses and factories, among other businesses.

The BGC is arguing that the rates system is ‘unfair’ and is contributing to the decline in businesses presence in British high-streets, including betting shops, which have been closing year-over-year with the exception of some companies like BoyleSports.

Figures cited by the BGC show that the number of British betting shops has dropped by 30% since from 8,304 in 2019 to 5,825 in March 2025. The BGC asserts that this has resulted in 10,000 job losses.

It seems that the BGC is looking to take advantage of a potential U-turn on business rates hikes for pubs after protests that this could hit the hospitality sector hard. Estimates deem that pubs were closing at an average of one a day in 2025, an area of concern for the Labour government in helping local businesses.

Grainne Hurst, CEO of the BGC, said: “Britain’s high streets are already under intense pressure, and an outdated and unfair business rates system is only accelerating their decline. Betting shops are closing not because communities don’t value them, but because the costs of running physical premises continue to rise.

“Ministers were right to recognise these pressures when it comes to pubs, and the same common-sense approach must now be applied across the high street. Without urgent reform, we risk losing thousands more local jobs, investment and vital footfall, while handing a growing advantage to the harmful gambling black market.”

Business rates… a local conundrum

Business rates are not a flat tax, varying from shop-to-shop depending on the venue’s location as the cost of rent is set by individual councils. Rates are based on a ‘rateable value’, determined by the Valuation Office Agency (VOA) based on how much it costs to rent a property for one year.

The BGC argues that this system places an unfair financial burden on various businesses. The trade body notes that some businesses have been arguing that the system ‘places an unsustainable burden on physical premises’ for some time.

All UK gambling operators have entered a period of strategic review, with new taxes coming into effect from April 2026 onwards. Remote Gaming Duty (RGD) will go up from 21% to 40% that month, affecting online businesses only.

General Betting Duty (GBD) will go up from 15% to 25% in 2027 – although physical gaming has been largely excluded from this. However, omnichannel firms like Betfred, William Hill, Entain and Flutter Entertainment will likely consider closing the least cash-efficient shops to offset the financial burden felt by their online businesses.

The BGC joins other leisure/hospitality trade bodies in determining that business rates are a hefty financial burden for business and their presence and investment in highstreets. With tough times only getting together, British betting firms are desperate for any relief they can get.

British betting shops still in the dock

However, the political climate is not in betting’s favour right now. It is noteworthy that in its statement the BGC referenced ‘investment and local authority revenues’ and ‘reduced business rate income for local councils’ as negative side effects of the current business rate system.

Various local councils have had enough of betting, at least that is the case with some 40 local authorities calling for more powers to prevent betting shops and adult gaming centres (AGCs) from setting up their local areas.

Labour MP Dawn Butler, a former minister under PM Gordon Brown and a shadow chancellor under Jeremy Corbyn, has become a particularly vocal proponent of the council’s demands.

The idea is also gaining more support throughout the Labour backbenches, and British betting may have a tough battle on its hands on persuading the government to take a look at business rates and how these affect high-street bookies in this context.