MPs demand Philip Hammond reduces fixed-odds betting terminals stake
2 min read
A trio of cross-party MPs has urged the Chancellor to crack down on fixed-odds betting terminals by lowering the maximum stake from £100 to £2.
Conservative former leader Iain Duncan Smith, Labour’s Carolyn Harris and the SNP’s Ronnie Cowan have written to Philip Hammond saying the case for reducing the maximum bet was “overwhelming”.
Ministers have so far resisted calls to take action against the machines, which are often described as the ‘crack cocaine of gambling’ as they are highly addictive.
According to the Government’s own estimates, a £2 cap could lead to a £5.5bn loss in tax revenues over the next 10 years.
But the cross-party group of MPs said the figures were "highly questionable" and urged the Treasury to reconsider whether it should profit from FOBT gambling.
They wrote: "This money is often lost by those at the lower end of the income distribution and it is highly questionable that the Government derives significant machine gaming duty revenue from those that can least afford it."
The intervention follows the launch of a 12-week consultation on the issue by the Department for Digital, Culture, Media and Sport, which will look at cutting maximum bets from £100 to either £50, £30, £20 or £2.
However, The Times reports that plans for a £2 maximum stake could be under threat as the gambling industry’s watchdog is preparing to recommend a higher, £30 limit.
The Gambling Commission’s recommendation will be significant because as the Government’s statutory adviser, ministers will be expected to act on its guidance.
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