Casino Industry Secretly made a Huge Donation to Institute of Economic Affairs

The casino industry made a huge £8,000 donation to the Institute of Economic Affairs. This was to allegedly sway the findings of the report which subsequently called for the current ban on the establishments of extra casinos be lifted.

 

IEAIt is alleged that the senior members of the National Casino Industry Forum met the authors shortly before they released the final draft of the report. They also received feedback and briefs of the report before they were finally released to the public.

 

In its final form, the report did not include any references to the owners of casinos who eventually made the said donation. This is notwithstanding the fact that the National Casino Industry Forum did indeed confirm having made the stated donation.

 

This report called for the scrapping of the limits that currently exist on the establishment of newer casinos. In particular, the report called for allowing middle-sized towns and cities be allowed to accept the establishments of newer casinos.

 

In reactions to these allegations, the Institute of Economic Affairs argued that several people and institutions outside the body had been privy to these reports. It also denied any likelihoods of such previous access influencing or swaying the final outcomes of the report.

 

These revelations came to the fore courtesy of the initiative of the Guardian newspaper. This newspaper had revealed how the said Institute had facilitated access to senior government officials. In particular, the said body had organized an an-hour long meeting between US investors and Steve Baker, who at that time was the Brexit minister.

 

Many members of the British public have expressed anger and dissatisfaction with these revelations. Many have persistently asked whether the institution and its outcomes have been compromised. They have also cast doubts over the credibility of the results and their findings.

In light of these, they have called for an in-depth investigation into the activities of the Institute of Economic Affairs. They have particularly narrowed down to the latest findings with the aim of ascertaining whether they are indeed credible or not.

 

Several persons and institutions have stepped in to solve the menace. The Charity Commission and Ms. Alice White have gladly taken up the challenges. The commission aims at determining whether there was a breach of the existing charity laws. Ms. Alice White, on the other hand, wants to know whether the Institute of Economic Affairs overstepped its boundaries as it compiled its report.

The director of the Institute of Economic Affairs, Mark Littlewood, has also confided to an undercover investigator that its clients have the abilities to fund and shape substantial contents considerably. This investigation was spearheaded by the Unearthed which is a part of the Greenpeace.

 

Labour Party also alleged that the Institute of Economic Affairs had carried out extensive lobbying as well as controversial political campaign activities to pursue specific policy goals. These it says, went well beyond the purview of its objectives as an ‘educational charity.’

 

Despite the overwhelming evidence, the Institute of Economic Affairs denied any involvements in foul play. Its director categorically stated that donors had no leeway influence the final outcomes and conclusions of the research findings. He went on to state that his institute has no apologies to make for educating politicians and other persons in the highest levels of government.

 

Brexit on Gibraltar Gambling Industry is Imminent

The United Kingdom is almost exiting the European Union. This impending departure from the regional and economic bloc is intended to inflict adverse consequences on the gambling industry in Gibraltar. This is because Gibraltar is under the domain of the United Kingdom.

 

brexitIn case Brexit goes through successfully, then firms that are located in the UK but which would wish to gain access to the EU market will have to make individual applications to this effect. This will further complicate issues for the various gambling operators. They will also forfeit the privileges that come along with the Mini One-Stop-Shop (MOSS Scheme). They will not be able to supply services and goods to the European Union except they register for it.

 

The reasons that underlie these likely adverse negative consequences are many. For one, the firms that are located in the United Kingdom shall no longer have access to the huge European Union market. This, of course, shall translate to reduced revenue inflows.

 

In response to these dangers, Gibraltar has decided to put in place certain intervention mechanisms. The city-state has decided to lower its tax revenues from gambling yet at the same time raise its license fees on gambling companies.

 

Many firms have also decided to take matters into their own hands. They have for instance decided to offload some of their operations to localities that are still within the jurisdiction of the European Union. The most notable examples of these are the Bet365 and 888 Holdings.

 

The issue is yet to be resolved conclusively though. This is because the Brexit deal has yet to be finalized. Moreover, various stakeholders within the gambling industry are still pushing for certain concessions to be made and guarantees approved.

 

As stated, Gibraltar has lowered its tax rate from gambling revenue. Before the Brexit talks commenced, the nation-state levied 1% tax rate on the revenue from gambling. It has reduced this rate drastically to a paltry 0.15%. This has given many firms that operate in the area some incentive to keep staying on the island despite the impending exit of the United Kingdom from the European Union.

 

On the same note, the nation has increased the license fees on new gambling firms. For instance, the business-to-business corporate entities are now supposed to part with $112,000 (£85,000) while their business-to-consumers are required to pay $132,000 (£100,000) for the license.

 

Given that license fees are a one-time expense, this increase is very unlikely to inflict a significant rise in the cost of doing business. On the contrary, it shall enable the state to make up for the anticipated loss of tax revenue at least in the short run.

 

In response to these latest developments, Bet365 has already indicated the intention of relocating to Malta. The Minister for Financial Services of Gibraltar, Mr. Albert Isola, has however downplayed this move. He maintains that Gibraltar still has the capacity to weather the storm and secure its financial standing even if the UK withdraws from the EU.

 

Some stakeholders have even contemplated looking up to the World Trade Organization for a guidance on the way forward. They draw their inspiration from the Case that pitied Antigua on the one hand and the United States on the other hand. The World Trade Organization did step in and offer an amicable solution.

 

This stand has mainly been inspired by the fact that service industries, of which gambling is part, has largely been given a wide berth during the ongoing Brexit negotiations. They also decry the complex nature in which the payments from gambling will have to confront. It will be interesting to see just how the issue will ultimately be resolved.