The global COVID-19 pandemic ravaged many industries in all countries, with gambling being one of those most affected. Playing games of chance was big business in most corners of the globe, with pre-pandemic estimates claiming that the global market would reach a size of £355 billion by 2022. However, in March of 2020, things took an unexpected turn when gaming venues everywhere had to shut down due to government-issued lockdowns and quarantine restrictions that aimed to contain the spread of the novel COVID-19 virus.
These events made gamblers turn to top UK online casinos, as such platforms recorded drastic spikes in user activity. According to the UKGC, the GGY of the largest online gambling brands rose by 30% between November and December of 2020. These figures are unsurprising, given that in the first half of 2020, some land-based operators announced revenue drops of close to 50%, and Genting Casino’s made it known that they would release more than 1,600 employees due to the increasingly uncertain future of the industry.
However, despite these occurrences, many experts believe that the brick-and-mortar sector will slowly recover by 2023, reaching pre-pandemic revenue numbers once the virus is a thing of the past.
Different Restrictions Across the UK
In mid-2020, the Westminster government decided to allow England casinos to re-open on August 15th, given that virus transmission rates were low over the summer. In December, gaming establishments in England again began to close as stricter restrictions when into effect in most counties. By January 5th, all gambling venues in England were closed.
Northern Ireland followed the Westminster advice, but it closed its venues again in October, in line with a national lockdown. Scotland took a similar pandemic response, closing down gaming locales in October. Though Wales has arguably taken the sternest stance regarding safety measures in all of the UK, its four casinos also opened in August and closed in October.
Government Help Arrives, But Operators Fear Tax Increases
In February, the UK’S Betting and Gaming Council released a statement asking that UK betting shops and casinos re-open once the latest lockdown ends. That their working hours’ mimic those of businesses in the hospitality industry. The UK Chancellor heard their plea and included an aid package of up to £18,000 per venue for businesses that opened at later dates in the 2021 budget.
The Betting and Gaming Council welcomed this help. However, many operators worry that due to high government borrowing, the Chancellor may plug budget holes by raising corporate taxes.
Land-Based Casinos to Open in May
According to Prime Minister Boris Johnson’s roadmap out of lockdown, the phased re-opening of UK society began on March 8th. Though this plan made no mention of any specifics regarding bingo halls, betting shops, and casinos, a Downing Street spokesperson clarified that these would re-open starting from stage two of the plan. Betting shops will be the first to become available to the public on April 12th, while all other gaming establishments will unlock their doors in stage three, which should begin on May 17th.