HM Revenue & Customs (HMRC) recorded £1.93bn ($2.55bn) in UK betting and gaming duty receipts between April and July 2026, an increase of 19% year-on-year.
Remote Gaming Duty (RGD) represented 50% of the provisional total, making it the largest source of gambling tax receipts during the period. General Betting Duty (GBD) accounted for a further 16.6%.
The increase follows a substantial change to the taxation of online gaming. RGD rose from 21% to 40% on 1 April 2026 and applies to profits generated by remote gaming providers from UK customers.
HMRC said the higher rate is expected to have contributed to the increase in receipts from July onwards.
The effect was less visible during the opening quarter. Total betting and gaming receipts between April and June stood at £985m, only 0.3%, higher. RGD receipts for the three-month period reached £376m, up 22%.
Other duty categories showed mixed movements. GBD receipts for April to June fell 14% to £161m, while Lottery Duty receipts declined 15% to £225m. Machine Games Duty increased 5% to £162m and Gaming Duty rose 2% to £58m.
The figures come as the wider regulated gambling market continues to expand. Gambling Commission data shows Great Britain generated £17.5bn in gross gambling yield during the 2025-26 financial year, up 4.4%. Remote casino, betting and bingo generated £8.3bn, compared with £4.9bn from land-based sectors.
Further tax changes are scheduled for April 2027, when a 25% GBD rate will apply to most remote betting. Remote bets on UK horseracing will remain at 15%. The Government estimates its gambling duty reforms will raise more than £1bn annually for the Exchequer.
In September, the UK Government proposed prohibiting licensed operators from offering third-party bets on Powerball draws after the lottery joined the National Lottery in July. The six-week consultation is due to close on 4 November.
Bingo Duty was abolished from 1 April 2026, while Lottery Duty remains set at 12% of the price paid for a lottery ticket or chance