Casino News

Rank gaming company gets £42.5m windfall

2010-05-25 16:44:14

Rank - the company that owns the Grosvenor Casino brand - has received £42.5 million in overpaid VAT from HM Revenue & Customs.

It comes after a series of successful rulings on the case in favour of the organisation.

Tony McClenaghan, a senior tax partner for Deloitte - which advised the firm throughout the process - said: "This is a very welcome decision following on from earlier victories at the tribunal and in the High Court."

The case hinged on Rank's claim of fiscal neutrality, as jackpot machines were subject to VAT, but fixed-odd betting equipment was not prior to 2005.

As the apparatus is extremely similar, it argued successfully they should be treated as the same for VAT purposes.

The group recently posted a nine per cent increase in like-for-like revenue at its casinos, which was driven by a seven per cent rise in customer visits and a two per cent improvement in spend per stay.