This article is from page 17 of the 2008-10-21 edition of The Clare People. OCR mistakes are to be expected so download the original SWF or the rendered page 17 JPG
CLARE bookmakers will be forced to close up shop because of the hike in betting duty imposed in the budg- et, the [Irish Bookmakers Association (IBA) has warned.
The association spokesman was commenting on what he described as the “irrational and disastrous de- cision to double the rate of Betting Duty” from one per cent to two per cent in last week’s budget.
“This move will immediately force the closure of sole trader bookmak- ers and make it extremely difficult for small companies to survive,” he HOR
The IBA is seeking an urgent meet- ing with the minister to discuss the matter and has called on him to re- verse the decision.
While understanding the difficult situation facing the country, the spokesman said, “it must be recog- nised that far from being in the na-
tional interest, this anti-business and anti-consumer move will result in even greater losses to the Exchequer and the economy. It penalises small independent businesses to the benefit of online and telephone gambling which is operated through offshore companies making no contribution whatsoever to the State.”
The IBA pointed out in it’s state- ment that since 1999 the bookmak- ers’ share of the Irish gambling market has fallen from 91 per cent
to about 50 per cent. By contrast, an analysis of Paddy Power’s most recent financial data shows that 53 per cent of its operating profit comes from non-retail sources like online and telephone gambling – with no contribution to the State.
“Betting Duty is unique in Ireland as the only double taxation levied on any business in any sector,’ the spokesman added.
Irish Bookmakers Association Chairperson Sharon Byrne said,
“The IBA is fully committed to the national economy and the support of the Horse and Greyhound Racing Fund, but increasing an already un- fair tax which will drive small opera- tors out of business is not the way to achieve these objectives.
“We have proposed a number of measures including the capture of online gambling revenues and the introduction of modern technologies to allow independent bookmakers to compete on a level playing field.”