iGB Intelligence reports iGB_MM_UK_Bingo_Market_June_2019_proof6 | Page 6

Part 1: Strictly bingo Part 1: Strictly bingo T he UK bingo market presents an object Chart 1: UK online bingo GGR (£m) 2015-18 lesson in how regulatory and tax 200 headwinds can affect market participants 180 in a variety of ways. 160.6 164.8 Apr 16 - Mar 17 Apr 17 - Mar 18 160 Let’s start with the actions of the Gambling 140 Commission and the current government. In recent years the bingo sector, along with the 120 100 wider online gaming sector, has been hit with 80 changes to the taxation treatment of player 60 bonuses, the implementation of enhanced 40 measures on source of funds, responsible 20 gambling and AML and finally, and most 0 recently, by the rise in remote gaming duty from 122.4 Apr 15 - Mar 16 Source: Gambling Commission 15% to 21%. A torrid backdrop then. Yet the nature of the UK across the sector as it struggled to readjust to market – and the varying degrees of dependence the new landscape. It should also be noted that on slots and other games as opposed to purely this tailing off of growth came largely ahead of bingo – means that across the market leaders the the implementation of the harsher Gambling impact has been variable. And it is the degree Commission regime and the remote gaming tax to which the bingo sector is actually bingo-led increase. But as we can see below, the general that means the figures from the GB Gambling trend masks some variable operator-by-operator Commission are, to an extent, misleading. differences. Still, the figures reflect something of the issues rise between 2015/16 and 2016/17 with a pinch of Operator-by-operator analysis: Tombola thrives salt (with reporting practices still bedding down), This is most obvious with one of the easier the 2.6% rise between 2016/17 and 2017/18 looks to operators to analyse, Tombola, not least because be more reliable (see table 1). It suggests anaemic of its relative lack of reliance on other games growth at best in the purely bingo revenue element to boost revenues. The closely held company’s facing the sector. While we should take the 31% Table 1: UK bingo turnover and GGR 2015-18 UK bingo Turnover (£m) GGR (£m) GGR % rise Apr15-Mar16 Apr16-Mar17 Apr17-Mar18 1,469 1,414 1,326 122 161 165 31.2 2.6 Source: Gambling Commission iGaming Business Market Monitor • UK bingo market, Sweden and Germany • June 2019 3