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BGC Urges UK Chancellor to Drop the Proposed New Gambling Tax Simplification Measure

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The Betting and Gaming Council (BGC) has urged the UK Chancellor against using a proposed new gambling tax simplification measure to further raise taxes which will threaten sports including horse racing.

In the Autumn Statement, the Government confirmed it will consult on new proposals to bring remote betting into a single tax, replacing the current three-tax structure.

General betting duty and pool betting duty are set at 15% of operator profits, but remote gaming duty, levied on games of chance such as online casino, is set at 21%.

Any hike in betting duty would likely lead to lower margins on racing, fewer offers for punters and less funding to sponsor and promote the sport.

The tax threat comes as revenues are already being stretched by so-called affordability checks on customers, plans to replace the current voluntary levy with a new statutory levy to fund Research, Education and Treatment to tackle gambling related harm and spiraling costs for betting operators to support horse racing.

Michael Dugher, Chief Executive of the Betting and Gaming Council, said: “Any further new tax rises could be a hammer blow for horse racing’s finances, which are already threatened thanks to measures proposed by the Government in the recent white paper.

“This is a sport which relies heavily on betting operators for its success and yet the Government appears determined to draft in measures which shrink the industry with huge ramifications for other sectors, like horse racing.

“What’s worse, the Treasury didn’t bother to consult or even inform DCMS, which is the department responsible for betting and racing. It seems they are high on tax but low on joined up government.

“There are genuine fears that any so-called simplification of the current tax structure will be nothing more than a Trojan Horse to further raise taxes on businesses.

“This has the potential to risk jobs and investment, and undermine the competitiveness of British horse racing on the global stage, placing its rich history and heritage in peril.

“We were promised an Autumn Statement that would deliver growth – the only thing growing is the list of worries for the betting and horse racing industries”.

The proposed new tax simplification plan comes soon after the Government’s White Paper, published in April, which included measures that will cost online operators in excess of £895m in Gross Gambling Yield.

And comes as bookmakers are preparing to make a record contribution to horse racing next year – with the bill for media rights forecast to increase by nearly £30m.

The Betting and Gaming Council’s five biggest members for horse race betting, Entain, Flutter, bet365, 888/William Hill and Betfred, expect to see a record cost increase to broadcast races.

In 2022, BGC members paid £270.1m for the rights to live stream races for customers and show them in bookmakers.

But that cost is forecast to rise to £285.3m this year, an increase of 5.6%, with members estimating a further increase to £315.2m in 2024, a further bump of 10.5%.

The forecast costs come after the BGC announced their members directly contributed £384m to British horse racing last year in levy, media rights and sponsorship deals.

In addition, bookmakers spent £125m on marketing to promote racing and betting through advertisements and partnerships.

Horse racing is the second biggest sport in the UK, second only to football, with more than five million people attending around 1400 fixtures annually across 59 racecourses.

However, its popularity is in decline. In 2007, 17% of the population participated in horse race betting in the previous year, but that fell to 10% in 2018.

The Department for Culture, Media and Sport has committed to reviewing the Horseracing Levy by next year.

The Horseracing Levy, which is administered by the Horserace Betting Levy Board, goes towards improving the sport, breeding and boosting veterinary care.

Betting operators are working closely with the British Horseracing Authority and racing stakeholders on much needed reforms to the fixture list and race programme which should increase commercial returns from the levy and media rights.

Betting shops support 42,000 jobs on the UK’s hard-pressed high streets, generating £800 million a year in tax to the Treasury and another £60m in business rates to local councils.

But this contribution is under threat, the combined impacts of recent regulatory reforms and Covid lockdowns have forced the closure of over 2000 shops with the loss of 10,000 jobs since 2019.

The wider regulated betting and gaming industry contributes £7.1bn to the economy, generates £4.2bn in tax and supports 110,000 jobs.

The BGC has repeatedly warned changes to the regulated betting and gaming sector by the Government must not risk forcing customer to the unsafe gambling black market online.

A study by PWC showed the number of customers using an unlicensed betting website has grown from 210,000 to 460,000 and billions is being staked.

Each month in Great Britain around 22.5m adults have a bet and the most recent NHS Health Survey for England estimated that 0.4% of the adult population are problem gamblers.

Alex Scott Chief Product Officer at Tequity

Q&A with Tequity’s new Chief Product Officer Alex Scott

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Following his appointment as Chief Product Officer at iGaming software pioneer Tequity, industry veteran Alex Scott outlines his vision for the company’s expanding product suite. With over 20 years of leadership experience, including driving WPT Global to become the world’s second-largest online poker room, he shares his insights on how Tequity’s approach is redefining both the games players enjoy and the way they are distributed.

You have held senior leadership roles at major operators and suppliers. What convinced you to join Tequity, and what are your main priorities as CPO?

Tequity is a business that I’ve admired since I first became aware of it. In that time I’ve heard so many positive things about how the company is able to move very quickly and decisively, while still delivering ultra high quality products for its partners. When I started interviewing for the position and meeting the people involved, that only reinforced the positive impression I had. It was clear to me that this was a company that is at the forefront of innovation in the iGaming space, creating and delivering content that is fresh and exciting.

My priority as CPO is to further accelerate the development of top-quality products that are highly relevant to today’s players. I’m excited to roll up my sleeves and get stuck in – there are so many possibilities!

Tequity recently secured BMM Testlabs certification for its RNG and the first batch of Originals titles. How does that accelerate your product roadmap?

This certification will open up many more potential customers for Tequity, and therefore many more opportunities for businesses to take advantage of Tequity’s services, like our bespoke Exclusives and our top-performing Originals. Operators fighting for market share are always looking for those added-value elements that can set them apart from the competition and our fully brandable, customisable and feature-packed content offers that key point of difference.

It will also enable the studios using our RGS and Publishing solutions to widen their own distribution and reach many more potential customers as well – just another reason to choose our RGS. We have seen the strong demand for our games and solutions from partners all over the world, and we believe that this appetite will be more than matched by operators in the regulated market space.

Finally, it represents s a step towards a wider regulated market expansion which I am excited to be involved in.

Player preferences are moving decisively toward fast-paced, community-driven experiences. How do Tequity’s game divisions cater to this next generation of player engagement?

One of the things that sets Tequity apart is that the company truly understands what the modern generation of players are looking for. They are discovering online casino in a very different way to past generations, and require simpler, easier to understand, more socially-driven content if you want their full attention. Today’s players expect instant gratification and seamless, mobile-first experiences that fit into their fast-paced lifestyles. They also want gameplay to feel like less of a solitary activity and more of a shared event.

Having spent recent months immersed in casino game development for the crypto generation, I’m really looking forward to contributing to these efforts and having an impact of my own.

You will be joining the Tequity team at iGB Live in London next month. What is the key takeaway you want operators and studios to leave with?

As the newest Tequity signing, I’m looking forward to meeting the rest of the team and many of our partners and customers at iGB Live.

Tequity is an extremely fast and capable company that builds high-quality, interesting products at the cutting-edge of the industry. My hope is that operators and studios leave the event understanding our expertise and capabilities. But I also want them to leave with a sense of the enthusiasm and passion that we have for building great games that stand out from the crowd.

The post Q&A with Tequity’s new Chief Product Officer Alex Scott appeared first on EE Gaming | Global iGaming & Tech Intelligence Hub.

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Ariel Reem CEO at Games Valley

Games Valley adds SPRIBE’s Aviator crash game to aggregation platform

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Deal adds the flagship crash title to Games Valley’s operator distribution network via a single integration.

Games Valley has added SPRIBE’s crash game Aviator to its aggregation platform, extending operator access to the supplier’s flagship title.

Under the agreement, Aviator will be distributed through Games Valley’s platform to its network of operators across regulated and emerging markets.

SPRIBE said Aviator reaches more than 77 million monthly active players, processes over 400,000 bets per minute, and accounts for more than 90% of the global crash-game market.

Ariel Reem, CEO at Games Valley, said: “Aviator is one of those rare games that has become a category-defining product. For operators, this is exactly the kind of content that can make an immediate impact. At Games Valley, we’re focused on giving operators access to the games players already know and trust, while helping them maximise performance through a fast, flexible aggregation platform.”

Giorgi Tsutskiridze, CCO at SPRIBE, said: “Games Valley has built a strong reputation as a modern aggregation partner for operators that want access to premium casino content quickly, efficiently and reliably. Through this partnership, we are able to bring Aviator to a wider network of operators through a platform that understands the value of proven, high-performing content in both established and fast-growing markets.”

The post Games Valley adds SPRIBE’s Aviator crash game to aggregation platform appeared first on EE Gaming | Global iGaming & Tech Intelligence Hub.

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Microgaming expands Playboy-branded live casino and adds new slot

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Playboy Gems and Desires launches 10 June as the supplier highlights roulette and faster baccarat formats in Microgaming Live.

Microgaming is spotlighting its official Playboy partnership across live casino and slots, as it continues to build a portfolio of Playboy-branded content for operators. The company said its latest slot, Playboy Gems and Desires, launched on 10 June.

In live casino, Microgaming said Playboy Roulette is positioned as the core title within a wider Playboy-branded suite available through Microgaming Live. The supplier said the live range includes multiple table formats presented in a branded studio environment.

Microgaming also pointed to Playboy Speed Baccarat, which it said runs rounds 30% faster than standard baccarat and includes features such as multi-table mode, side bets, statistics and racetrack bets.

Across the live product line-up, the company said the Playboy branding extends to elements including Playboy Bunny presenters, branded tables and live chat, alongside operator-facing marketing options. On slots, Microgaming said Playboy Gems and Desires includes Wild stacks, B-U-N-N-Y-triggered Free Spins, a Jackpot Wheel and a top win potential of up to 5,000x the bet.

A Microgaming spokesperson said: “Playboy is a brand with a unique place in popular culture, and our official partnership gives us the opportunity to build something that feels much broader than a single table or title. What makes this relationship so exciting is the ability to bring that unmistakable sense of style and premium entertainment to life across various formats. Playboy Gems and Desires is the latest chapter in that story, and a strong example of how the Playboy identity can continue to evolve across both slots and live casino.”

The post Microgaming expands Playboy-branded live casino and adds new slot appeared first on EE Gaming | Global iGaming & Tech Intelligence Hub.

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