HMRC to raise duty rate for higher-stake gaming machines from 2027
HM Revenue & Customs has set out changes to the thresholds that decide how much duty certain gaming machines pay, due to take effect from April 2027.
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HM Revenue & Customs has published a tax information and impact note confirming changes to the stake and prize limits used to classify gaming machines for Machine Games Duty.
According to HMRC, the changes will alter which machines count as type 2 or type 3 for duty purposes, and in turn which rate of duty applies.
From 1 April 2027, HMRC said any dutiable gaming machine allowing a play cost above £1, or offering a prize above £100, will move into the higher duty band of 25%. HMRC noted that these machines currently fall under the standard rate of 20%.
The department said the change amends the existing thresholds that determine how machines are taxed, without altering the overall structure of Machine Games Duty itself.
HMRC did not set out any further changes to duty rates or thresholds beyond those described, and gave no additional detail on how operators should prepare for the new limits ahead of the 2027 implementation date.
Source: GOV.UK.
Contains public sector information licensed under the Open Government Licence v3.0.