The government has been told by MPs that it should not “cave in to industry scaremongering” about the negative effects of taxing online betting games, and that it should tax them at a rate that reflects the harm they can cause.

The recommendation from the cross-party Treasury committee comes just weeks ahead of Rachel Reeves’s Budget, in which she will be looking to plug a substantial gap in the public finances.

In its report, released on Friday, the committee warned that online betting can lead to harmful, addictive, high-frequency gambling that delivers no benefit to the people taking part, their families or their communities.

The report urged the government to “more sharply recognise that different types of gambling inflict different levels of harm”, and recommended that this be reflected in its approach to taxing the activity.

The committee’s report said that while various forms of gambling, ranging from seaside arcades and bingo through to betting on the races and football, are safely enjoyed by many people, there is “another side to the industry”.

The shift towards online betting games has picked up pace in recent years, with the proportion of the “gross gambling yield” associated with remote gaming rising from 12 per cent in 2014 to 44 per cent in 2024.

The committee had called for evidence of the possible effects of taxing the activity, as it held a series of sessions examining the choices faced by the chancellor in her forthcoming Budget. It said it rejected the industry’s assertion that gambling causes no social ills. It also heard evidence that it said both supported and challenged the gambling industry’s concern that increased taxation could drive more customers to the black market.

The committee said it recommends that the government examine how to tackle black-market gambling, and consider whether additional anti-tax-avoidance measures were needed.

The chair of the Treasury select committee, Dame Meg Hillier, said: “Whether at a local racetrack or a seaside arcade, for many people, gambling is a fun pastime enjoyed with family and friends. But we heard that the industry is hiding its more insidious parts behind the friendly facade of its traditional, cultural forms.

“For too many people, the highly addictive and harmful nature of online betting games has seriously impacted their lives and the lives of those around them. The impacts of problem gambling in our communities are plain to see, and the industry’s boldfaced claim to our inquiry that it does no social harm is staggering.

“Online betting games are extracting huge amounts of money from people who have been funnelled into the most addictive, harmful corners of the industry via their love of sports or the occasional game of bingo. We are urging the government not to cave in to industry scaremongering, and to tax online betting games at a rate that reflects the level of harm they inflict.”

The chief executive of the Betting and Gaming Council (BGC), Grainne Hurst, said: “Further tax increases on the regulated online sector risk undermining consumer protections by pushing players towards the unsafe, unregulated black market – while reducing Treasury revenues and cutting the vital funding our members provide to British sport, including horseracing, football, rugby league, darts and snooker.

“We have always recognised that betting and gaming can lead to harm for a small minority, which is why our members are investing more than ever in safer gambling – including new stake limits on online gaming, enhanced affordability checks, swift data-driven interventions, robust advertising safeguards, and funding for a new £100m statutory levy for research, prevention, and treatment to tackle problem gambling and related harm.”

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Ms Hurst added: “BGC members contribute £6.8bn to the economy, generate £4bn in tax, and support 109,000 jobs, while facing an effective tax rate of up to 80 percent when duties are combined with corporation tax, business rates, national insurance, VAT, and the new statutory and economic crime levies.

“Much is at stake in the chancellor’s Budget. Get it wrong, and it’s not just jobs and growth that will suffer, it’s safer gambling itself. To protect consumers and support a safer, stronger industry, we must keep gamblers playing within the regulated market.”

A spokesperson for Flutter UK and Ireland, whose brands include Paddy Power, Sky Betting & Gaming, Sportsbet and Tombola, said: “It’s not scaremongering to suggest that tax rates of 50 per cent on machine games and online games such as bingo – as demanded by the Institute for Public Policy Research – could have a significant impact on the industry, jobs and investment.

“A tax rise is not a free hit.”

Mumbai: The domestic equity indices ended the session slightly lower on Friday, erasing early losses due to buying in banking and fin services sectors’ heavyweights in afternoon trade and support from certain positive Q2 results. 

Sensex closed at 83,216.28, down 94.73 points or 0.11 per cent. The 30-share index opened marginally lower at 83,150.15 against last session’s closing of 83,311.01. The index remained volatile during the session, hitting an intraday high and low of 83,390.11 and 82,670.95, respectively, amid a mixed approach from investors.

Nifty 50 ended the session on 25,492.30, down 17 points or 0.07 per cent.

“Domestic equities rebounded from early losses as buying emerged at key support levels, though it may be premature to call this a trend reversal amid mixed earnings, cautious global cues, and persistent FII outflows,” said analysts.

Select segments found support from Q2 results, with broader indices outperforming, led by a sharp rally in financials — especially PSU banks on account of rising investor interest driven by speculation around an FDI cap hike and sector consolidation. Going forward, markets will closely monitor US shutdown and tariff-related developments with US-India and US-China deals to assess the durability of the current momentum, he added.

Bharti Airtel, Tech Mahindra, Trent, HCL Tech, Hindustan Unilever, ITC, SBI, TCS, Ultratech Cement and Tata Motors Passenger Vehicle settled in negative territory. Tata Steel, Mahindra and Mahindra, ICICI Bank, BEL, Adani Ports, Infosys and PowerGrid closed higher.

Sectoral indices remained volatile, experiencing a mixed approach from investors. Nifty FMCG fell 274 points or 0.49 per cent, and Nifty IT declined 220 points or 0.62 per cent. Meanwhile, Nifty Auto rose 153 points or 0.57 per cent, Nifty Bank increased 322 points or 0.56 per cent, and Nifty Fin Services ended the session 205 points or 0.76 per cent higher.

The broader market followed suit as well. Nifty smallcap 100 dipped 29 points or 0.16 per cent, and Nifty 100 settled flat, and Nifty midcap 100 surged 374 points or 0.63 per cent.

Last Updated:November 07, 2025, 14:30 IST

The benchmark equity indices staged a strong comeback on Friday, recovering from early losses as value buying in select sectors

Stock Market Today.

Stock Market Today: The benchmark equity indices staged a strong comeback on Friday, recovering from early losses as value buying in select sectors and upbeat global cues lifted investor sentiment.

After two consecutive sessions of declines, the Sensex opened on a weak note and slumped 631.93 points to 82,679.08 in early trade. The broader Nifty also dropped 184.55 points to 25,325.15. However, buying interest picked up by late morning, helping the Sensex recover more than 600 points to trade at 83,336.06, up 25.05 points or 0.03 percent, while the Nifty climbed above the 25,500 mark to 25,537.95 around 1:30 p.m.

Among the Nifty50 stocks, Shriram Finance, Adani Enterprises, and Bajaj Finance led the gainers, rising up to 3 per cent. On the other hand, Bharti Airtel and InterGlobe Aviation were among the top laggards, slipping as much as 4 per cent.

Key Factors Behind the Market Recovery

1) Value Buying:

Investors engaged in value buying across banking, financial services, and metal counters after recent corrections, providing strong support to the benchmark indices.

2) Trump Hints at India Visit:

US President Donald Trump on Thursday praised Prime Minister Narendra Modi, calling him “a great man” and “a friend,” while hinting at a possible visit to India next year to boost bilateral trade ties. The comments lifted market sentiment amid hopes of an early resolution to trade tariff issues.

3) Firm Global Cues:

Global markets also lent support, with Wall Street futures edging higher around noon India time, indicating a positive start for US equities later in the day. The improvement in global risk appetite added to the momentum in domestic markets.

Aparna Deb

Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a…Read More

Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a… Read More

Read More