Gambling Industry: Gambling Reforms

Lord Sikka Excerpts

Tuesday 17th May 2022 Lords Chamber

[Lord Parkinson of Whitley Bay (Con)]

The noble Lord is right: 40% of people gamble at least once a year, and if you also include people who only play the National Lottery then most people gamble. Most suffer no ill-effects from a pastime that they enjoy and brings benefits to the economy. However, we are also determined to tackle problem gambling and the misery it causes to many lives, and that is the balance we are trying to strike through our review.

[Lord Sikka (Lab)]

My Lords, the majority of the online servers on which British people gamble are located in offshore tax havens. This means that profits from sales in the UK are booked elsewhere and not taxed in the UK at all. Can the Minister provide an estimate of UK corporation tax lost as a result of these arrangements?

[Lord Parkinson of Whitley Bay (Con)]

I will not hazard such an estimate from the Dispatch Box, but in 2014 we amended the Gambling Act to introduce a point-of-consumption regulatory regime. Since then, every gambling firm which transacts with customers in Great Britain has to have a licence from the Gambling Commission, comply with licence conditions and pay duties on their earnings in this country.