UK plans higher machine-games duty above £1 stakes or £100 prizes
A tax note published on 29 October sets out plans to move gaming machines with maximum stakes above one pound or maximum prizes above 100 pounds into the 25% Machine Games Duty category from 1 April 2027.
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A tax note published on 29 October sets out plans to move gaming machines with maximum stakes above one pound or maximum prizes above 100 pounds into the 25% Machine Games Duty category from 1 April 2027. Affected machines currently in the standard category pay 20%.
The change works through the definitions of machine types. To remain in the standard category, a machine outside the lower-rate definition would need both a maximum charge of no more than one pound and a maximum prize of no more than 100 pounds. Exceeding either threshold would place it in the higher category.
The existing lower-rate definition and 5% rate are preserved, and the Treasury would retain powers to vary thresholds. Machine Games Duty is charged on net takings from dutiable games, rather than directly on every stake or every prize. Legislation is proposed through Finance Bill 2026–27; the announcement does not put the revised thresholds into effect immediately.
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Publication of the official announcement on 29 October 2026.
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UK plans higher machine-games duty above £1 stakes or £100 prizes
A tax note published on 29 October sets out plans to move gaming machines with maximum stakes above one pound or maximum prizes above 100 pounds into the 25% Machine Games Duty category from 1 April 2027. Affected machines currently in the standard category pay 20%.
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