What the 28 October Budget means for casino bonuses: new free play rules, unchanged online duty
Casino bonuses are paid for out of operators’ margins, so tax changes matter to the offers you see. The Budget on 28 October did not raise the 40% duty on online casino profits, but it did announce new rules on how free spins and other free plays are taxed from April 2027. Here is what changed, what did not, and what it could mean for welcome offers next year.
By the Top Casino Bonus team. Published .
Key points
- Remote gaming duty, the tax on online casino profits, stays at 40%, the rate in force since 1 April 2026.
- Machine games duty on higher-stake machines (over £1 a play) rises from 20% to 25% from 1 April 2027; that affects venues, not online casinos.
- New rules will settle how free plays, prizes and tournaments are taxed from 1 April 2027.
- They follow an Upper Tribunal ruling on 25 September 2026 that cancelled about £13.2m of duty assessments on free spins.
- No casino has announced a change to its welcome offer; all five we track were unchanged at our 7 November check.
- Budget date
- 28 October 2026
- Online casino duty
- 40%, unchanged
- Machine games duty
- 25% from 1 April 2027
- Free play rules
- From 1 April 2027
- Tribunal case
- Jumpman Gaming, 25 September 2026
- Our five offers
- Unchanged
What changed and what did not
| Measure | What happens | Affects bonuses? |
|---|---|---|
| Remote gaming duty | Stays at 40% of online gaming profits | Indirectly, as the main cost behind offers |
| Machine games duty | 20% to 25% on machines with stakes over £1, from 1 April 2027 | No; venue machines only |
| Free plays, prizes and tournaments | New rules on how duty applies, from 1 April 2027 | Possibly; free spins are the most common bonus |
| Remote betting duty | Rises to 25% from 1 April 2027, as announced in 2025 | Sports offers, not casino |
Why free spins are in the spotlight
In the Jumpman Gaming case, a welcome promotion gave players a free spin on a prize wheel that could award free spins on other slots. HMRC argued that duty was due on those further spins. On 25 September 2026 the Upper Tribunal disagreed and reduced assessments of about £13.2m, covering July 2018 to December 2022, to nil. A month later the Budget announced legislation to put the treatment of free plays beyond doubt from April 2027. The detailed rules have not yet been published.
What it could mean for your offer
- Nothing changes today. Offers claimed now run under the current rules.
- Free spins offers may be restructured next spring, for example fewer spins or different triggers, if the new rules raise the cost. None of our partners has said so.
- Wager-free spins still beat bonus money for most players. See free spins with no wagering and compare with match bonuses.
- Your winnings are not taxed. UK players pay no tax on gambling winnings; see gambling winnings and tax.
Background on the duty itself is in our guide to remote gaming duty.
18+. Gambling should be entertainment, never a way to make money. Free, confidential help 24/7: National Gambling Helpline 0808 8020 133, or see our safer gambling page.
Ad UK-licensed casinos · offers checked 7 November 2026
Our top three casino bonuses this month
- #1
Coral Casino · ★ 4.3/5Bet £10 on slots, get 100 free spinsClaim at Coral (advert, opens in a new tab)Significant terms: 18+. New players only. Offer runs 01/10/2026 to 01/02/2027. Deposit (certain types excluded) and bet £10+ on slot games to get 100 free spins (selected games, £0.10 each, 48 hrs to accept, valid 7 days). No wagering on free spin winnings. Deposits by Neteller, PayPal, Paysafe, Skrill, prepaid cards and certain debit cards do not qualify. Restrictions and T&Cs apply. GamCare.org.uk Read the review
- #2
Ladbrokes Casino · ★ 4.2/5Play £10 on slots, get up to 500 free spinsClaim at Ladbrokes (advert, opens in a new tab)Significant terms: 18+. New customers only, from 14/11/25 until further notice. Certain deposit methods excluded. Deposit and spend £10+ on slots for 50 free spins a day during the first 10 days after first deposit and registration (max 500, £0.10 each, selected games, claim before 23:59 each day, valid 7 days). No wagering. Prepaid cards, PayPal, Paysafe, Neteller, Skrill and Moneybookers deposits do not qualify. Restrictions and T&Cs apply. GamCare.org.uk Read the review
- #3
Significant terms: 18+. New UK customers (excluding Northern Ireland). First deposit only. Minimum deposit £10. 80 free spins on Big Bass Bonanza, £0.10 each. No wagering requirements; winnings paid in cash. Cannot be used with any other offer. Only available to players who arrive through the designated offer link. Full T&Cs apply. GamCare.org.uk Read the review
18+. New customers only. We may earn commission from these links. Advertiser disclosure · See all five bonuses
Frequently asked questions
Did the Budget raise online casino tax?
No. Remote gaming duty stays at 40%, the rate since 1 April 2026.
Are free spins going to be taxed differently?
Yes, from 1 April 2027 new rules will set out how remote gaming duty treats free plays, prizes and tournaments. The operator pays the duty, not the player.
Will casino bonuses get smaller in 2027?
Possibly, if operators restructure offers once the rules are published. No partner casino has announced a change.
Do I pay tax on bonus winnings?
No. Gambling winnings are not taxed for UK players.
Related pages
Sources
- Gambling.com: Healey lifts machine games duty to 25% in Budget (opens in a new tab)
- Gambling.com: HMRC plans new freeplay tax rules after Jumpman tribunal defeat (opens in a new tab)
- Pinsent Masons: UK Budget 2026 gambling tax rise (opens in a new tab)
- OLBG: Budget spares UK casino sites online (opens in a new tab)
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