Bacta Warns Treasury of MGD Rise Harm

Dan Tomlinson MP

by Joseph Cullis

This Tuesday, Allaster Gair and I met with Dan Tomlinson MP, Exchequer Secretary to the Treasury, as part of our ongoing engagement with the government ahead of the Autumn Budget later this month. With speculation mounting around a possible rise in MGD, this was a timely opportunity to underline the importance of our sector to Britain’s seaside, high streets, and pubs.

We were keen to stress to the Minister that any rise in MGD, such as Gordon Brown’s suggestion of a 50% rate, would wipe out the industry overnight, delivering a devastating blow to operators, jobs, and investment. We made clear that even an increase to 25% would be deeply damaging, with Bacta modelling showing that around a third of jobs could be lost under such a rise, putting hundreds of businesses and the wider supply chain at risk. Encouragingly, the Minister recognised the strength of the domestic manufacturing base that underpins our industry, supporting skilled, high-quality employment nationwide. He was clearly struck by the scale of our contribution, and by the family stories and community roots that define so many of our members.

The Minister was also keen to discuss gambling harm, allowing us to reaffirm that Bacta has long been at the forefront of social responsibility. We explained the history of stakes and prizes in the land-based sector, noting that these have evolved responsibly over time through close collaboration with the government, and that they remain well below online levels. We highlighted that both machine numbers and GGY have remained stable in recent years – evidence of a responsible, steady market, not one experiencing unchecked growth. As an operator of bricks-and-mortar venues myself, I emphasised the levels of protection our customers receive through staff interaction – something that other forms of gambling cannot replicate.

We closed the meeting with a clear message: that a rise in MGD would seriously harm a sector already contributing significantly through many taxes and levies. Instead, we urged the Treasury to work with DCMS to deliver the long-promised reform to the 80/20 rule, which we believe would strengthen operators, protect jobs, and deliver a fairer outcome for all.

It was an encouraging meeting, and I’m pleased that our voice was heard at such an important moment for the industry. As we approach the Autumn Budget, Bacta will continue to make the case for a balanced, sustainable fiscal approach – one that recognises the value our members bring to local economies and communities across the country.

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13 November 2025

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