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The Mecca and Gala Bingo groups are both rallying against the proposed hike in gross profit tax, from 15% to 22%, announced in the budget.

Both say the increase in duty will add further pressure to a contracting industry already hit by the smoking ban and economic downturn.

Ian Burke, Chief Executive Officer of the Rank Group, owners of bingo halls in Bedford and Luton, spoke to the BBC about their concerns: "People love their bingo.  It’s played by millions of people each year up and down the country, including Bedford and Luton.

Bingo halls remain popular

"The government is proposing to increase the tax from 15 per cent to 22 per cent and we're trying to persuade Labour MPs in particular, because bingo is traditionally played in Labour heartlands, to tell the government not to put this tax increase through.

"We've had support from Luton MP Kelvin Hopkins and we're trying to get similar support from other members in the area.  It's very important that we get MP's support to persuade the Treasury not to increase this tax.

"Other forms of gaming, for example bookmakers, football pools, online bingo, are taxed at a start rate of 15 percent.   We feel that the Government is 'picking on' bingo in trying to increase this tax and that it's just not fair."

An increase in the popularity of online bingo has had a impact on the industry, but the CEO, is sure that there is still a demand for the bingo hall.

"The reason most people play bingo is for the social and community aspect of it.  It's a really important part of their time away from home, their time together, particularly women" said Ian Burke.

Listen to the full interview here:

Bingo hall profits were previously taxed at 15 per cent but in April the Chancellor Alistair Darling announced a rise to 22 per cent with immediate effect.