Dundee SNP

SNP Treasury spokesman Stewart Hosie MP is calling for fairer taxation on the bingo industry and an end to the double standard currently inflicted on the sector.
Dundee East MP Mr Hosie today (Wednesday) joined a bingo rally in the House of Commons to show his support for the sector.
Bingo clubs are currently hit with a 22% levy while other gaming activities are taxed at 15%. The industry claim unfair taxation has put great strain on business and played a contributing role in the closure of 31 clubs in 2008/09.
Commenting, Mr Hosie said:
“To burden bingo with this over taxation is both unjust and unwelcome. These are difficult times for the bingo industry and the UK Government needs to support the sector rather than adding to the challenges it faces.
“Other gambling products are taxed at a 15 per cent but the UK Government insists on making licensed bingo an exception to the rule. The SNP has kept up the pressure to redress this imbalance by tabling an amendment to the Finance Bill next week.
“The sheer number of people gathering in the House of Commons to stand up for the industry shows the important role bingo halls play in our communities. They are a safe and friendly environment for the whole community, especially older people, to gather together.
“The SNP have long campaigned for a change in this unfair tax policy. To preserve this important industry and to bring bingo into line with other gaming activities, it is time for the UK Government to ditch the double standard.”

Dundee East MP Stewart Hosie has warned that the future of Scotland’s bingo clubs is at risk because of a tax hike hidden in the recent budget, which has increased the rate of duty on bingo from 15% to 22%.

The MP has called for parity with other forms of gaming and betting, such as online bingo, sports betting and the football pools.

Earlier, this week, Stewart Hosie moved an amendment to the Finance Bill on the floor of the House of Commons to remove the substitution of 22% for 15% and to restore the pre-budget duty levels. The amendment was defeated when Labour MPs remained loyal to the Government.

Stewart Hosie said: “This tax hike on bingo which is a highly popular social activity, when duty on other forms of gambling including sports betting, casino and online poker and football pools will remain at 15% is unfair.

“In scores of communities across Scotland, the bingo club is a vital part of the social fabric. It offers good quality, safe entertainment and social facilities providing fun, enjoyment and friendship for many people, particularly women. This Westminster tax-hike in the midst of the deepest recession for more than 60 years will affect many in my constituency and across Scotland.

“Bingo clubs may have to close in Scotland in the Labour government will not end its policy of tax discrimination. Since 2006, approximately 90 bingo clubs across the UK have closed. This week, I have received hundreds of letters from customers of Dundee’s bingo clubs and from staff too, all concerned with the situation.

“We are not calling for preferential treatment for bingo clubs, simply a level playing field to allow this important social amenity to continue and to cater for the large number of my constituents who regularly use bingo clubs.”

TAX FAIRNESS ESSENTIAL IN WAKE OF RECESSION AND CUTS

SNP amendments to the Finance Bill focussed on helping households, businesses and communities will be debated in the Commons tomorrow (Tuesday).

The amendments seek to: introduce a fuel duty regulator to protect jobs in the transport industry and help motorists and businesses; introduce a fair tax regime on alcohol – to protect jobs in the Whisky industry; and proposals to overturn the unfair taxation of licensed bingo clubs.

SNP Treasury spokesperson, Stewart Hosie MP, said:

“Together we must all work to protect jobs and invest in recovery in the wake of Labour’s bombshell Budget.

“These amendments are about helping households and businesses. In contrast, Labour has chosen to stab at the heart of crucial Scottish budgets. I hope Scottish MPs of all parties will get behind these sensible proposals.”

On proposals for a fuel duty regulator, Mr Hosie said:

“A road fuel regulator would see any extra cash raised from VAT on higher pump prices go straight back into an equivalent cut in fuel duty. It would give a real lifeline to Scotland’s hauliers who are unable to plan effectively for the future because they do not know what the price of fuel will be and prevent the rising food prices that come from increased fuel costs.

“Further increases in fuel prices would be disastrous in the grip of recession. Fuel duty hikes may temporarily boost empty Treasury coffers, but increases will actually hinder economic recovery.

“The UK government should be easing the burden faced by business and households, and a fuel duty regulator mechanism would help do just that.”

On demands for a fair deal on whisky taxation, Mr Hosie said:

“The UK Government is treating the whisky industry as a cash cow. Only last year Labour Ministers announced record 17% in duty hikes, and now the pain continues. The whisky sector is one of the country’s key industries and it is a disgrace that the UK Treasury is treating it so badly.

“Alcohol taxation should be fair taxation with minimum pricing ensuring that the drinks that damage our society such as cheap ciders and budget beers are no longer sold at pocket money prices.

On proposals for a fair deal on Bingo taxation, Mr Hosie said:

“There is widespread support for bringing down the rate of Bingo duty from 22 per cent to 15 percent in line with the tax rate for every other form of gambling. This is about fair play for one of the most popular pastimes enjoyed by people in all communities.”

SNP Treasury spokesperson Stewart Hosie MP has written to Treasury Minister, Angela Eagle, calling for an end to double taxation on bingo.

Under the current regime, bingo club revenues are subject to both VAT at 17.5% and gross profits tax at 15%. According to the bingo sector, this has been a contributing factor to the closure of at least 100 clubs in the past 5 years.

Commenting, Mr Hosie said:

“The UK Government’s treatment of the bingo sector is incredibly unfair and action needs to be taken to help the sector at this very difficult time.

“Licensed bingo remains the only gambling product subject to double taxation, which results in an effective tax rate of 28.2 per cent compared with 15 per cent for most other gambling products.

“Bingo is great fun but its importance cannot be underestimated. Bingo halls provide a safe and friendly environment for the whole community but especially older people to meet and socialise.

“The Government chose not to remove double taxation from bingo halls in 2003. The SNP have been keeping up the pressure to right this ever since and we will continue in the run up to the Pre-Budget statement.

“For the sake of fairness and for sound economic reasons, the UK Government must act to remove double taxation from bingo.”

Stewart Hosie Dundee East MP today endorsed a 20,000 free energy saving light bulb give-away for people in Dundee at his local Mecca Bingo in Douglasfield.

The give-away is a joint initiative by Mecca Bingo and Scottish Hydro Electric to help Mecca members save money by using less energy and reduce CO2 emissions as a result. Across the UK 2 million free lightbulbs will be handed out. In a first for the Bingo industry both in the UK and internationally, every Mecca member can collect a free pack of 2 energy saving light bulbs during September by simply going into their Mecca club and swiping their membership card.

If all 2 million bulbs are used, then the potential savings are massive:

* up to 69GWh of electricity could be saved per year which is enough energy to run ALL the street lights in the UK for a total of 12 days

* the total cost saving would be £6.5 MILLION per year which is enough money to pay the energy bills of 6,200 families

* up to 26,000 tonnes of CO2 per year which is the equivalent of 4,400 households

or enough CO2 to fill 149,000 double decker buses

* saves the same CO2 as the annual emissions of 9,000 cars

Commenting on the give-away, Stewart Hosie MP said,

“At a time when a lot of people are concerned about the rising costs of heating and lighting their homes, changing to energy-saving bulbs can be a great way of saving money.  I am absolutely delighted that Mecca clubs across the city will be givign away 20,000 low energy lightbulbs.

“This is a wonderful iniative which will save money for bingo club members and help to reduce the impact of Dundee’s carbon footprint.”

The Manager of the Mecca Bingo club in Douglasfield, Gerry Chisholm said, “We were really pleased that Stewart could come down and support our campaign which is a really important initiative for us as it means we can reward our Mecca members and really make a difference not only to their finances but also in their efforts to go greener. The environment is a big concern for everyone so by doing this give-away we are helping our members take a positive step to reduce their energy consumption without hitting their pocket.”

The picture shows Mecca Bingo General Manager Gerry Chisholm with (L-R) Patricia Pollock, Margaret Fox and Stewart Hosie MP at the club.