Support Builds for Doubling Taxes on Adult Gaming Centres and Casinos

The Social Market Foundation released polling data in late June 2026 that revealed 43% of the public backing a potential tax increase on adult gaming centres and casinos under a future Labour government. This figure emerged from questions about raising Machine Games Duty on Category B machines, those £2-a-spin devices found in high-street venues, while leaving lower-stake options in pubs untouched. The findings arrive amid ongoing debates about gambling regulation and revenue generation as political figures consider their next moves into July 2026.

Mechanics of the Proposed Duty Change

Current Machine Games Duty sits at 20% on gross profits from these machines, and the proposal would double that rate to 40%. According to the polling released by the thinktank, such a shift could deliver between £275 million and £458 million in additional annual revenue on top of the roughly £600 million already collected from this category. The extra funds would come specifically from adult gaming centres and casinos, where higher volumes of play concentrate on these devices. Those who've reviewed the numbers note that the change targets only Category B machines, which spares the lower-stake equipment commonly found in pubs and other community settings.

Public support registered at 43% for this targeted increase, a level that reflects broader interest in adjusting tax structures around gambling without affecting every venue equally. The Social Market Foundation presented these results as part of discussions on how future policy might balance revenue needs with existing concerns about venue placement. Data from the release shows clear differentiation between machine types, which allows the measure to focus on larger operators while protecting smaller, lower-risk locations.

Effects on High-Street Operators and Casinos

High-street adult gaming centres stand to face the most direct impact from the duty doubling, since these venues rely heavily on Category B machines for their revenue streams. Casinos would encounter similar adjustments, though their overall business models often include additional offerings beyond the machines in question. Operators in both sectors have operated under the current 20% rate for years, and any shift to 40% would require recalibration of financial planning. The proposal explicitly excludes machines in pubs, which typically feature lower maximum stakes and different regulatory profiles, thereby narrowing the scope of affected businesses.

Revenue projections from the polling indicate the potential scale of the change, with the upper end of £458 million representing a substantial addition to existing collections. Those tracking industry patterns observe that such increases often prompt operators to review machine placements and operational costs, though the exact responses would depend on final policy details. The distinction between high-street venues and pub-based machines creates a clear boundary that shapes how the tax adjustment would apply across different parts of the gambling sector.

Links to Location Concerns and Political Developments

The polling release connects the tax proposal to ongoing observations about adult gaming centres appearing in areas with higher levels of deprivation. Researchers and policy analysts have documented patterns where these venues cluster in certain communities, and the duty adjustment is framed partly as a response to those distributions. The measure would not alter machine availability directly but would increase the financial contribution extracted from operations in those locations. Figures released alongside the polling underscore the revenue potential while highlighting this geographic element of the debate.

Andy Burnham's potential future role as prime minister receives mention in connection with the findings, as some discussions explore how regional leaders might influence national approaches to gambling oversight. teh Guardian covered these developments in a June 2026 report that referenced the Social Market Foundation data and the broader context of venue targeting. Any action tied to Burnham would unfold within the framework of Labour government priorities, though specific timelines remain subject to political outcomes. The polling itself does not outline enforcement steps but supplies public opinion benchmarks that could inform such decisions.

Current Tax Landscape and Revenue Baseline

Machine Games Duty at 20% has generated approximately £600 million per year from Category B machines, establishing the baseline against which the proposed increase would be measured. The additional £275 million to £458 million projected under a doubled rate would expand that total significantly if implemented. This calculation focuses exclusively on the higher-stake machines in adult gaming centres and casinos, maintaining separation from pub-based equipment that faces different duty conditions. Observers note that the structure allows for precise application without broad disruption across all gambling formats.

The 43% public support level provides a reference point for how such a change might be received, though actual policy adoption would involve further legislative processes. Data released by the Social Market Foundation emphasizes the revenue figures while situating them within discussions about venue locations and tax fairness. As July 2026 progresses, these elements continue to feature in coverage of potential regulatory shifts, with the polling serving as one input among others shaping the conversation.

Conclusion

The Social Market Foundation polling outlines a specific pathway for adjusting Machine Games Duty on Category B machines, with clear revenue estimates and a defined scope limited to adult gaming centres and casinos. The 43% support figure, combined with projections of £275 million to £458 million in new annual income, supplies concrete data for ongoing policy consideration. Distinctions between high-street venues and pub machines remain central to teh proposal, as do connections to location patterns and political figures such as Andy Burnham. These elements together form the core of the reported developments entering July 2026.