The Rank Group, the parent company of Mecca Bingo, has called on the UK Government to implement a single rate of gaming tax in order to promote growth and job creation while protecting vulnerable consumers. The paper which was published yesterday urges the government to drop the current confusing tax system rather than adding to it. This strategic move comes at a time that the HM Treasury are conducting consultations into a secondary licensing and proposed taxation for online gambling operators.

With Rank being one of the bigger players in the gambling industry and operating both land based gambling establishments as well as online sites the government will not be able to ignore the views. The majority campaigns about gambling tax are supported by operators that have a self interest, such as land based operators complaining about online operators paying no tax or bingo operators complaining that they pay more tax than other gambling sectors. However Rank has operations across the gambling industry and as such brings more credibility to the campaign.

The gambling giant is not arguing against the concept of taxation to online gambling operations but it is suggesting that other parts of the tax system should also be reviewed. In the paper, Rank reminds the Conservative and Liberal parties of their pre-election pledges to bring the taxation of bingo in licensed clubs (currently 20%) in line with other forms of gambling, including online bingo, (either 0% or 15%).

Ian Burke, Rank's chief executive and chairman, states that the creation of a level playing field for land-based operators will provide greater protection for consumers; and will benefit the economy through job creation and more sustainable tax generation. Burke added: "I believe that the Government has the opportunity to create jobs in the UK without sacrificing tax receipts by replacing the current patchwork quilt with a single tax, at a single rate".

The key benefits proposed by Rank are:

Fairness - by removing arbitrary distinctions in the taxation of the same gaming products and thus guarding against market distortion;

Responsibility - by encouraging the development of highly supervised licensed gaming venues, where adults can enjoy themselves safely; and

Sustainability - by encouraging all operators to make a fair contribution to the UK economy through stable tax yields for the Exchequer and by stimulating job creation in the UK, through increased investment.

Rank has reminded Conservative and Liberal parties of their pre-election promises to bring in line the disparity of bingo taxation in licenced clubs with other forms of gambling, including online bingo.