Genting UK CEO Highlights Risks of Doubling Machine Games Duty in Budget Discussions

Paul Willcock, CEO of Genting UK, has outlined the consequences of a proposed increase in Machine Games Duty from 20% to 40% ahead of the next UK Budget cycle, noting that such a change would render 13 of the company's 32 casinos unprofitable. This adjustment, if implemented, carries the potential to place more than 850 jobs in jeopardy and could ultimately lower overall tax collections as facilities close their doors. The argument centers on the direct link between higher operating costs and reduced viability for land-based venues that rely on gaming machines as a core revenue stream. The duty applies specifically to gaming machines in casinos and other venues, and Willcock has stressed that doubling the rate leaves limited room for operators to absorb the extra burden without scaling back activities. Data from the company's records show consistent contributions to public finances, yet the proposed rate shift would alter the economics of multiple sites across the country. Observers note that closures would follow patterns seen in other sectors where sudden tax escalations exceed profit margins on a sustained basis.

Investment Record and Recent Developments

Genting UK has channeled nearly £1 billion into its UK casino operations since entering the market, with a standout project being the £50 million redevelopment of London's Trocadero site. That transformation created between 350 and 400 permanent positions plus numerous construction roles during the build phase. The company has paid over £750 million in taxes, duties and levies between 2016 and 2025, figures that underscore its role in supporting local economies through employment and supply chain spending. These investments align with broader efforts to revitalize city centers, where casinos often serve as anchors for hospitality, tourism and the night-time economy. The Trocadero project, for instance, has drawn visitors who also frequent nearby restaurants, hotels and transport hubs, generating secondary economic activity that extends beyond direct gambling revenue.

Employment and Revenue Implications

Should the duty rise take effect, the 13 affected casinos would face immediate pressure on their balance sheets, leading to staff reductions or full shutdowns in some locations. Willcock has pointed out that closed venues generate no tax revenue at all, which reverses the intended fiscal gain from the higher rate. Historical patterns in the sector indicate that operators respond to such cost increases by consolidating sites rather than expanding, and the same dynamic appears likely here. The 850 jobs at risk represent a mix of roles including dealers, technicians, hospitality staff and management positions that support daily operations. Regions with multiple Genting venues would feel the impact most acutely, as alternative employment in comparable leisure facilities remains limited in many city-center locations.

Context Around the September 2026 Budget Timeline

Discussions about the duty adjustment have gained momentum as policymakers prepare for fiscal decisions scheduled around September 2026, when the next Budget round is expected to finalize rates for gaming-related levies. Industry representatives, including those from Genting UK, have submitted detailed briefings that contrast the proposed 40% rate against current operating realities and the cumulative tax already remitted by the sector. The company has framed its position around the principle that viable businesses sustain long-term revenue streams, while forced closures eliminate both jobs and future contributions. Evidence from the company's multi-year investment program shows sustained growth in visitor numbers and ancillary spending at modernized sites, outcomes that depend on maintaining a stable tax environment.

Role in Urban Regeneration

Casinos operated by Genting UK have participated in city-center regeneration projects that combine entertainment with retail and dining developments. The Trocadero conversion, completed in recent years, illustrates how private capital can restore underused buildings while creating permanent employment clusters. Similar patterns appear at other locations where casino presence has supported extended trading hours for surrounding businesses and improved footfall in evening economies. These contributions extend to tourism metrics, as international visitors often include casino visits in their itineraries, boosting hotel occupancy and transport usage. Local authorities in several host cities have documented increased economic activity tied to these venues, although the scale varies by site and local infrastructure.

Conclusion

teh arguments presented by Genting UK's leadership focus on measurable outcomes: potential site closures, job losses and a net reduction in tax intake if the Machine Games Duty doubles. The company's track record of nearly £1 billion in UK investment and more than £750 million in payments over the past decade provides the factual baseline for these projections. As the September 2026 Budget approaches, the discussion centers on balancing fiscal objectives with the operational sustainability of existing casino assets that continue to support employment and urban activity across multiple regions.