GB: Is a health tax for games of chance fair?

A health tax can soon be introduced for games of chance providers in Great Britain. The income from the new tax should be used to finance the gambling related treatments in public health. Is the planned health tax fair for British gambling providers and could this be a model for Germany?

In May of last year we had reported that in Great Britain prominent people were forbidden from advertising for gambling. And now we have the next bad news: The British government is planning a new health tax for the gambling sector. This should be paid by the gambling firms and the amount depends on the respective turnover of the firms. This was reported by the “The Mail on Sunday” around two weeks ago.

Health tax for games of chance treatments

According to the recent plans this fervently discussed health tax shall be requested by the British gambling providers and then passed on directly to the “National Health Service”. The aim is to get the gambling firms, many of which are multi billionaires to at least finance part of the high costs the health service is facing because of games of chance. The new tax could for example be used to finance the treatment of British players with a problematic or pathological gambling behaviour.

It is interesting to note that the British health service has till now hesitated to take the funds of the gambling firms. There were fears of a possible conflict of interest and they wanted to remain independent. However, many even larger companies are donating comparatively manageable amounts, till now on a voluntary basis.

The percentage amount of the health tax for the gambling sector has still not been determined. It is only a fact that the tax must be paid by the operators. Most probably these will be transferring the cost to the players. In January 2022 we had reported that many British players are criticising the imminent credit assessments.

Besides this in another article on GambleJoe from summer 2021 we had tackled the massive data protection infringement of an online casino in Great Britain.

Is the British health tax a model for Germany?

In Germany the gambling providers must not pay any health tax. However, there is the controversial stake tax amounting to more than five per cent. This tax is especially valid for virtual slot machines. In February of this year we had reported about the high tax revenues from German online casinos. Thus, the introduction of this health tax at this current point in time would be improper and unnecessary.

Conclusion

Till now it has not been decided whether the planned health tax for gambling providers in Great Britain will be introduced or not. The income from the new tax could be used to contain the negative consequences of gambling and for example to control the games of chance which lead to addiction much better. We are excited to see whether the health tax will have any effect in practise.

Image source: https://pixabay.com/de/photos/yoga-ausübung-fitness-frau-3053488/