JenningsBet Opposes Mandatory Statutory Levy, Warns of Adverse Effects

JenningsBet, an independent British betting operator, has joined the ongoing discussions regarding the statutory levy outlined in the UK's Gambling Act white paper. This levy, if implemented, would replace the current voluntary system in which gambling operators voluntarily contribute funds for gambling-related initiatives.

Under the proposed statutory levy, online gambling operators would be required to contribute 1% of their annual revenue to support research, education, and treatment programs. In contrast, land-based companies would only need to pay 0.4% due to the higher operational costs associated with retail operations. Proponents argue that this change would provide essential funding to enhance support services.

JenningsBet, however, voices concerns about the potential negative consequences of the mandatory levy. Vicky Knight, JenningsBet's head of safer gambling, highlighted these concerns in a blog post for the Betting and Gaming Council.

Knight argues that the 0.4% levy imposed on retail operators is disproportionate and could lead to layoffs and the closure of betting shops. This would be particularly detrimental to operators that play a crucial role in local communities and have already been impacted by the COVID-19 pandemic and economic challenges.

Knight also points out disparities in the levy rates, mentioning that Family Entertainment Centers and the National Lottery face lower rates despite having similar operational costs. The unequal treatment of independent bookies, she warns, could render some shops unprofitable, resulting in further closures and job losses.

In conclusion, Vicky Knight and JenningsBet express their willingness to contribute their fair share to support gambling-related initiatives. However, they urge the government to consider the potential adverse effects on independent bookmakers when implementing these reforms.