There are many ways in which Brexit will affect the UK and many companies are having thoughts about relocating their entire business. Brexit, which stands for British exit, is the possible and impending withdrawal of the United Kingdom from the EU. In 2016, more than 51% of voters opted to withdraw from the EU. There are pros and cons to this happening, but in terms of the UK gaming industry, it could be a devastating thing should it happen. In fact, no matter what happens with Brexit, the UK gaming industry will be facing some serious changes.
Negative Impact on the Gaming Industry
Most believe that Brexit will have serious negative effects on the industry. It will reduce access to any European market, which is one of the largest in the world when it comes to gaming. This could severely impact the current revenues generated by leading UK gaming businesses, especially in terms of operating online casinos. It will also make a huge dent in the employment rate, with many people being out of jobs if these companies are forced to stop operating within the EU.
Leaving the EU will also have a negative impact on consumers. Brexit will drive up the costs on gaming consoles as well as software, and things will be much harder to access. There will be a need for companies to relocate their main business operations and many of the leading gaming companies are considering entering the US market if this must happen.
Current software developers that are based on the UK are already quite concerned about what could happen. With a possible recession and a huge impact on the games market, many companies may be forced to leave the country and set up operations elsewhere. This will slow down production and interrupt current services, so the gaming industry will take a big hit, especially those involved in online gaming and online casino operations.
Moving Operations to Other Countries
In terms of the online gambling industry, many operators are concerned about their success after Brexit and are considering relocating. Some countries are already stating they will not accept UK operators. Gibraltar is already trying to stop any UK gambling companies from relocating to Malta. However, other countries would be open to the relocation as it would drive up revenue overall.
Some of the leading UK casino operators have considered entering the US market. Since the online gambling industry is relatively new to the US, there is much room for expansion and having an established company enter the industry could be beneficial to the economy of the US. There will be many changes ahead if Brexit does happen and it is quite possible that a number of UK based companies will, in fact, relocate to the United States.
This could also have an impact on players from the UK. At this time, they are legally allowed to gamble at any UK licensed site. If these sites are forced to relocate. They will have to be licensed under a different jurisdiction, elimination choices for UK gamblers.
For now, the UK gaming market is still alive and well and is still attracting many. You can still play games at this online casino however, if Brexit happens there may be access restrictions to this and many other sites. These are uncertain times in the gaming industry and only time will tell the final outcome.
The Yucatan Times
Leave a Comment