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by Penny
Friday, 15 Sep 2006
Britain's Bingo Association is looking to land a £10 million tax rebate from the government in order to offset the revenues that it has lost as a result of Scotland's smoking ban.
The new rules mean that smokers are no longer free to light up in Scottish bingo clubs and the move has seen a flood of players switching to online bingo, which they can play from the comfort of their front rooms.
"The ban has had a far greater impact on the industry than had been anticipated," said a Bingo Association spokesperson. "This situation has been created by government legislation rather than market forces."
It is estimated that the ban has resulted in a drop in revenue of 20 per cent. Over 60 per cent of bingo players are smokers – far higher than the national average – and the land-based bingo industry has therefore been hit doubly hard.
The operators also claim that they are being unfairly treated because they have to pay VAT on stake money as well as their profits, unlike bookmakers.
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