Betfred to close 132 shops and cut 600 jobs citing UK gambling tax hikes

The bookmaker has launched a consultation over the closures, which will affect more than a tenth of its UK betting shops

Betfred is preparing to close 132 betting shops and cut more than 600 jobs, as the bookmaker warns that rising taxes and a deteriorating economic climate have made parts of its retail estate unsustainable.

The company has begun a formal consultation on the closures, which will affect more than a tenth of its UK shops and reduce its footprint to around 1,100 sites.

Founded in Warrington in 1967 by brothers Fred and Peter Done, whose combined wealth is estimated at £3.61 billion, Betfred said the fiscal pressures facing the industry had become impossible to absorb.

Jo Whittaker, chief executive of Betfred, said: “We have tried hard to protect all our sites and the colleagues who work in them, but the combined impact of higher employer national insurance contributions, wage inflation, increases in gambling taxes and wider economic uncertainty has left us with no choice.

“These are well-run shops, staffed by dedicated colleagues, and it is incredibly hard to see any of them close, but the current fiscal and regulatory environment has made it impossible to keep trading all our shops.

“Our priority now is to support the colleagues affected, and to continue serving customers and communities across the rest of our estate.”

Competing gambling firms Paddy Power and William Hill have similarly shuttered dozens of outlets over the last 12 months. Back in January, William Hill and 888 owner Evoke revealed it acted “quickly and decisively” to counter recent budget changes to gambling taxes by implementing shop closures and cost-cutting measures.

Last October, Paddy Power announced intentions to close 57 betting shops throughout the UK and Ireland, placing 250 employees’ jobs in jeopardy. The shutdown proposals follow tax hikes unveiled by the former chancellor.

Measures outlined in last year’s autumn budget saw remote gaming duty rise from 21% to 40%, while a new online sports betting duty of 25% will be introduced, covering all sports excluding horse racing, from 2027.

Betfred also pointed to additional financial strain from other tax rises including the increase in National Insurance contributions and alterations to thresholds.

Ensure our latest stories always appear at the top of your Google Search by making us a Preferred Source. Click here to activate or add us as your Preferred Source in your Google search settings.