Decreased GB Market Contracts Due to Reduction in B2 Stake: Impact on Casino Games

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The gross gaming yield for the casino games market declined marginally, falling 0.6% year-on-year to £14.22bn (€15.83bn/$18.97bn).

Due to the novel coronavirus (Covid-19) pandemic, the final 11 days of the reporting period saw the closure of land-based gambling venues, and the sporting calendar significantly reduced.

Online gaming, including sports betting, bingo, and casino games, contributed the most revenue, accounting for £5.68bn of the total, which was an increase of 8.1%.

The growth of online gaming was mainly driven by a strong performance in online sports betting, with a revenue increase of 15.5% to £2.33bn.

The casino segment also experienced growth, with a 3.7% increase in revenue to £3.18bn.

Bingo revenue grew marginally by 0.5% to £176.8m.

In contrast, land-based gambling saw a significant decline in gaming machine revenue, dropping 25.6% to £2.09bn.

This decline was due to the reduction in maximum stakes for B2 machines from £100 to £2 in April 2019. As a result, yield from these machines plummeted by 99.0% to £12.1m.

However, other machine categories such as B3 machines saw a growth in revenue, with a 39.5% increase to £1.54bn.

B1 machines, with a maximum stake of £5, also reported marginal growth, with revenue increasing to £214.8m.

On the other hand, betting shop revenue fell 26.4% to £2.40bn, accompanied by a 7.7% decrease in the number of open shops.

Bingo halls and casinos also experienced year-on-year declines in revenue, with a 5.7% drop to £636.0m for bingo halls and a 4.0% decrease to £1.02bn for casinos.

However, arcades were the only land-based premises to report growth, with an 8.8% increase in revenue to £477.3m.

Both large society lotteries and the National Lottery saw growth in the lottery vertical. Excluding the Camelot-operated lottery, revenue increased by 13.3% to £611.6m. However, the total generated for good causes dropped 10.7% to £366.8m.

The National Lottery generated sales of £7.90bn, with £5.45bn in retail sales and £2.46bn online, resulting in a gross yield of £3.40bn, up 10.4%.

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Landry Jackson is an esteemed writer with a deep passion for gambling and online gaming. With over a decade of experience, Landry has become a trusted voice in the industry, providing insightful and thoroughly researched content on casinos, sports betting, poker, and the latest developments in online gambling. Known for his clear, engaging writing style, Landry excels at breaking down complex topics into accessible and enjoyable reads for audiences of all skill levels. His articles offer in-depth reviews, strategic advice, and the most current industry trends, equipping readers with the knowledge they need to make informed decisions and elevate their gaming experiences.
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