Crewe MP Slams New Tax Rate For Bingo Clubs

MP dismayed by decision to raise bingo duty to 22 per cent.

Edward Timpson, MP for Crewe and Nantwich, has criticised the government's decision to increase duty on bingo games.

Chancellor Alistair Darling scrapped VAT payments for the bingo industry in his Budget last week, but he also shocked gaming firms by pushing duty up from 15 per cent to 22 per cent.

Mr Timpson told the Crewe and Nantwich Guardian that he was "flabbergasted at the cheek of this money-grabbing government".

He added: "They claim they are doing bingo players a favour by abolishing VAT, which was judged illegal in two thirds of cases by the VAT tribunal last May anyway, and then they have the nerve to hike bingo duty."

Rank Group, which runs the Mecca Bingo chain, announced that the new rate is likely to add about £6 million to its annual tax bill.

Shares in the company fell by almost nine per cent in the aftermath of the Budget announcement last week.

Responding to the tax changes, Investec analyst Matthew Gerard told Reuters that the Budget "highlights how exposed the gaming sector is to regulation and tax".