To cheers from MPs Chancellor Gordon Brown gave the consistently popular pastime a boost by abolishing duty.

Given that betting has recently moved to a gross profits system, the industry anticipated that bingo might be next in line Sir Peter Fry Bingo Association

But industry body the Bingo Association was more cautious in its welcome.

The duty is to be replaced by a tax on gross profits.

Association chairman Sir Peter Fry said: "The industry has argued strongly for several years that the rate of bingo duty was too high and should be reduced."

He added that the reduction in taxation in other areas of gaming left bingo as the most heavily taxed game.

Anything that boosted prizes for players should be welcomed and the move to gross profits taxation was of little surprise.

Tax level 'critical'

"Given that betting has recently moved to a gross profits system, the industry anticipated that bingo might be next in line," he said.

The level of that tax would be "critical" to the continued success story of bingo.

"The industry has already begun detailed work on this issue in anticipation of reform, and we expect that the consultation exercise will provide the opportunity to explore all the issues," he said.

A spokesman for Gamblers Anonymous declined to comment on the issue.