The last 4 years for bingo operators have been bleak with all the regulatory changes, smoking ban, taxation and the emergence and growth of overseas online bingo.  However, with all the taxation in bingo looking to be ring fenced with operators still campaigning for reductions, the land based bingo could well be at the bottom of the ladder with only one place to go.

Many land based operators are switched on to bingo played on the internet and the internet bingo companies are also beginning to face some tough regulatory changes in the future with the honeymoon period well and truly over.  It is widely expected that some sort of levy will be introduced as the government are dedicated to receiving some sort of contribution from players of all online gaming sites whereby UK customers have full access and transact.

Meanwhile, the major change to tax to hit the UK this year was obviously VAT, which meant that GPT which was recently reduced from 22 percent to 20 percent has not hit UK bingo players.  The Bingo industry will still make noises that GPT for bingo should be the same rate as the bookmakers with a 15 percent rate and the government are still yet to come up with a rational argument on why bingo taxation should be more, but it is worth stressing that many operators that have held onto their businesses may see a resurrection this year as an economic change often creates a social change which in turn could have a positive effect on bingo.

Some bingo operators are reporting higher visits between October and January compared to the previous year, however the spend per heads are struggling indicating that many people are looking to increase the time being spent in clubs but at the same time being a little more careful to the amount they spend.

Last year also saw a reduction in the number of new online bingo sites emerging but at the same time a record number of bingo sites also vacating from the industry.  This is a clear indication that the online bingo market has indeed matured and more consolidation is expected in the coming year.  Consolidation is expected to happen with online bingo sites but in contrast it is expected that some of the land based companies may indeed see a split.  Bingosupermarket have already reported that Buckingham Bingo is going through a sale and this company is not expected to be sold as a complete business unit as some units are expected to be sold to various companies and it is possible that new companies in bingo could emerge.   Prasepe, Castle Bingo and Seldis Cooper are three companies that have increased their bingo estates in the last year with two or three more bingo companies expected to have larger estates of bingo clubs in the next 6 months.