UK Government Considers Cutting Online Gambling Tax
There are reports that the UK government is considering cutting the tax on online gambling revenues in order to attract more companies to the UK. At present gambling companies which operate from the UK pay 15% tax but it is thought this may be cut to 10%.
The government is hoping to attract more firms and therefore increase tax revenue and create new jobs.
The online gambling industry has been enjoying huge growth in recent years. In 2010 – 2011 the industry grew by 32% and this trend is expected to continue for the next few years.
In particular there has been huge growth in the mobile gaming sector; it is the fastest growing area of the gambling market. This is largely because of the rising popularity of smartphones.
The latest figures show that smartphone use in the UK grew from 14.2% to 62.3% in 2011 and 2012.
Mobile gaming has proved to be popular as it allows players to gamble without having to sit down at a computer or visit a casino.