UK and Offshore Gambling Firms Far From Agreements

When the UK moved to legalize internet gambling last year the idea was to become the new haven for online casino companies currently based in offshore islands like Curacao, Costa Rica, and the Dominican Republic.

However, the UK government is having troubles coming up with taxing terms that the offshore companies will agree to and the switch to the UK is looking less likely.

The problem is that currently the gambling firms are based in countries where taxes are at an extreme minimum, so the incentive to move to the UK would have to be better.

A possible compromise set forth by respected UK gambling company, Ladbrokes, suggests that the industry companies invest money from profts into a fund that treats gambling addicts in return for a UK kitemark.

"The UK has a reputation for being really well regulated not just in gambling but in financial services and other sectors," says John O'Rielly, head of Ladbrokes' intenret division. "A kitemark is a benefit I would want to pay for."

A kitemark is a kind of endorsement given by the UK government that brings with it a very high distinction of qulaity and integrity in a product or service and typically, getting a kitemark is not easy.

Whether the offshore companies believe gaining a kitemark is important enough to pay high taxes is still unknown and agreements between the UK government and offshore gambling firms appear far off.

November 5, 2006
Posted By Susan Torres
Staff Editor, CasinoGamblingWeb.com    Previous Page | Internet Gambling | Top Online Casinos | Submit News!