Budget Measures Spark Questions Over Arcade Licence Registrations
Yves Hoffmann · Nov 3, 2026

Budget Measures Spark Questions Over Arcade Licence Registrations

Chancellor John Healey announced new fiscal measures on October 28 2026 that raised Machine Games Duty on slot machines from 20% to 25% while removing business rates discounts previously available to adult gaming centres; these adjustments have prompted operators to examine existing regulatory frameworks for potential adjustments. Gambling Commission records show more than 200 arcades maintain bingo licences even though their primary activity centres on slot machines with bingo facilities often limited to minimal or unused equipment such as dusty tablets positioned in corners. Operators including Merkur and Admiral own many of these high-street venues now described by some observers as slot farms and the records indicate these establishments could fall outside the immediate scope of the duty increase and rates changes because of their dual registration status.
Details of the Announced Changes
The duty adjustment applies specifically to slot machines located in licensed premises and the removal of business rates relief targets adult gaming centres directly; records from the Gambling Commission confirm that venues holding bingo licences operate under a different regulatory category which currently shields them from the full impact of both measures. Data from the same records reveal that these 200-plus locations generate the bulk of their revenue through slot play rather than bingo sessions yet the licensing structure remains intact as of early November 2026. Campaigners have highlighted the discrepancy between the registered purpose and actual operations while MPs have joined calls for immediate legislative review to address the registration pattern.
How Bingo Licences Factor Into Operations
Venues registered with bingo licences must meet certain operational requirements under current rules yet Gambling Commission data shows many maintain only token bingo provisions; this setup allows the sites to continue slot machine activities under the existing licence framework. One study of licence records found that bingo areas in these arcades often occupy small portions of floor space with equipment that sees little regular use while banks of slot machines dominate the premises. The distinction in licensing categories means the duty rise and rates removal do not apply uniformly across all high-street gaming locations at present and operators have not indicated plans to alter their licence status in response to the October announcement.

Operators and Venue Examples
Merkur and Admiral control hundreds of the affected high-street sites according to industry listings cross-referenced with Gambling Commission data; these companies operate the venues as slot-focused locations while retaining bingo registrations that predate the latest Budget measures. Records indicate the pattern extends across multiple regions with many sites clustered in town centres where foot traffic supports steady slot machine use. The registration approach predates the October 28 announcement and has continued without interruption into November 2026 leaving the venues in a position where the new duty rate and rates adjustment do not yet apply directly.
Responses From Campaigners and Parliament
Campaign groups and members of Parliament have referenced the licence records when discussing the need for tighter alignment between registered activities and actual operations; they point to the over-200 arcades as evidence that current rules permit a mismatch between licence type and primary business focus. Calls for closure of the registration pathway have appeared in public statements since the Budget announcement with specific reference to the Express report that first detailed the scale of bingo-licensed slot venues. No legislative changes have been enacted as of mid-November 2026 though the issue remains under discussion in parliamentary circles.
Regulatory Context in November 2026
The Gambling Commission maintains public records of all licensed premises and these documents continue to list the 200-plus venues under bingo categories despite their documented slot machine emphasis; updates to these records have not reflected any mass reclassification following the October measures. Operators have not released statements confirming whether they intend to adjust operations or seek alternative licensing paths in light of the duty and rates changes. The situation leaves the venues operating under existing rules while regulators and lawmakers examine whether further clarification of licensing criteria is required.
Conclusion
The October 28 Budget measures introduced higher Machine Games Duty and ended certain business rates relief while Gambling Commission figures show more than 200 arcades hold bingo licences that place them outside the immediate reach of those adjustments. The registration pattern documented in official records has drawn attention from campaigners and MPs who seek review of the licensing structure before the end of 2026. Operators such as Merkur and Admiral continue to run the venues under current rules with no announced modifications as of November 2026.