Reeves Leaves Door Open To Gambling Tax Rise In Autumn Budget
Rachel Reeves left the door open to an increase in gaming taxes after Gordon Brown urged her to raise levies to cover the expense of lifting the two-child advantage cap.
The Chancellor said she was "deeply worried" about child hardship as she dealt with concerns about the former prime minister's proposal to increase tasks for online casinos and slots to money welfare reform.
Asked whether she was considering Mr Brown's recommendation, Ms Reeves stated she had spoken with him recently and would set out Government policy in the autumn budget plan.
Gordon Brown said gambling taxes should be raised to money well-being reform (Dominic Lipinski/PA)
"So I speak to Gordon regularly, and saw him recently when I remained in Scotland," she said.
"Like Gordon, I am deeply concerned around the levels of kid hardship in Britain. No child must grow up starving or moms and dads not be able to manage the essentials for their family.
"We're a Labour Government. Of course, we appreciate child poverty. That's why one of the very first things we did as a federal government was to establish a child poverty task force that will be reporting in the fall and (will) react to it then."
She added: "On gaming taxes, we have actually currently launched a review into gaming taxes. We're taking proof on that at the moment, and again, we'll set out our policies in the typical way, in our budget plan later this year."
Reforms to gambling levies might generate the ₤ 3.2 billion needed to ditch the two-child limitation and benefit cap, the Institute for Public Law Research (IPPR) stated.
The think tank's latest research stated axing the policies could raise half a million kids out of poverty and " years of rising difficulty for low-income households".
Giving his support to the report, Mr Brown, a picture of whom Ms Reeves reportedly kept in her bed room as a trainee, said it would be the "first vital step in the war we must wage versus kid poverty".
The Government is anticipated to release a kid poverty technique in the autumn, and campaign groups have actually said it must contain a dedication to desert the two-child limitation.
Thanks to IPPR's report, we now know that taxing betting more relatively would completely fund the first vital step in the war we must wage against child hardship - ending the two-child limit and raising the benefit cap
Gordon Brown
Economists have warned tax increases in the fall are likely needed to plug a hole in the general public finances left by bad economic figures and U-turns on welfare, triggering speculation about which areas Ms Reeves may target.
The IPPR recommended increasing taxes on online casinos from 21% to 50% and raising those on slots and video gaming makers, from 20% to 50%.
Mr Brown added: "Thanks to IPPR's report, we now know that taxing gambling more relatively would completely fund the first important action in the war we need to wage versus child poverty - ending the two-child limitation and raising the benefit cap."
Labour Mayor for the Liverpool City Region Steve Rotheram loaded further pressure on the Chancellor in the future Thursday, stating that raising 500,000 kids out of poverty need to be "a nationwide mission".
"Gordon is area on," he stated. "The Government has a real chance to act now and change young lives throughout the country."
Gordon is spot on - lifting 500,000 kids out of hardship should be a national objective.
The federal government has a genuine opportunity to act now and change young lives throughout the nation.
Let's get this done. https://t.co/JQY3K0jFxp
- Steve Rotheram (@MetroMayorSteve) August 7, 2025
But a spokesperson for the Betting and Gaming Council declined the "economically careless, factually misleading" propositions which "threat driving substantial numbers to the growing, hazardous, uncontrolled betting black market, which does not protect customers and contributes zero tax".
They added: "Further tax increases, fresh off the back of Government reforms which cost the sector over a billion in lost earnings, would do more harm than great, for punters, jobs, development and public finances."