[Richas]

The UK tax rate is going to be 15% of gross profit. This compares pretty well to the cut taken by affiliates.

Poker sites are hugely cash generative, having regulation and a tax on them is far more likely to lead to a squeeze on their margins (very high now) than a rise in the rake for player given a competitive marketplace.

The innaugral WSOP in London organised by Harrah's kicks off in early Sept, just as a legal site could launch. Harrahs can make money with competitive rakes and pay the tax.

Best case scenario for 5-10 - a regulated industry in both the US and EU.