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The UK government have finally issued a public statement in response to the petition received at Downing Street regarding the rise in bingo taxation. The petition was submitted by Michael Holden and was signed by 2,577 individuals who felt the rise from 15% to 22% in tax was a step too far for the land-based bingo industry who have already been hit hard by the national smoking ban in recent years.
The UK government said that it continued to recognise the important social role that bingo clubs held within their own communities and that the 2009 budget was simply part of a continuing reform that started in 2003 that eventually saw land-based bingo halls become VAT exempt. The government also said that the recent rise in taxation needed to be viewed as part of a wider picture and not as one isolated situation.
The response is unlikely to provide any consolation for bingo clubs and players with many individuals believing that the VAT exemption was dictated by European legislation instead of UK law. For most, it seems a classic case of giving with one hand and taking away with the other.
Many players are now making the most of free bingo and no deposit bingo offers and are getting their number-daubing thrills online. With an average of 4 land-based clubs closing in the UK every month, the response from the government makes very sombre reading indeed.