Entain, the parent company behind Ladbrokes and Coral, has announced plans to lay off around 500 employees worldwide as part of a restructuring initiative led by new Chief Financial Officer Michael Snape.
The job cuts, which were reported yesterday by Reuters, will affect mainly the company’s central corporate functions, including finance, human resources, product, and technology divisions.
The company clarified that this decision is not a direct response to the recent increases in the UK Remote Gambling Duty, but is part of a broader strategy aimed at optimizing costs in the long run.
An Entain spokesperson emphasized the need for improved efficiency, stating, “As part of our ongoing focus on enhancing Entain’s operational efficiency and agility, we have begun implementing organisational changes which will regrettably impact a number of roles across the Group over the months ahead.” They added that these changes aim to strengthen the business and reflect a strategic focus on maximizing shareholder value, while also assuring that support will be provided to those affected during this transition.
This announcement comes amid growing regulatory and fiscal pressures in the UK and other European markets, which include rising compliance costs, proposals for stricter online advertising regulations, and increased betting taxes. Earlier this year, in April, Entain disclosed it would close 39 Ladbrokes stores in Ireland as it exited negotiations to sell its entire retail estate in the country.
A spokesperson for Ladbrokes remarked at that time, “We continually review our retail estate to ensure our business remains competitive and financially sustainable. Our priority now is to engage constructively with colleagues throughout the consultation process, with a strong focus on redeployment wherever possible. Ladbrokes remains committed to Ireland and to operating responsibly within a sustainable retail footprint.”
In addition to the job cuts, Entain plans to sell a 20% stake in its CEE business to EMMA Capital, its joint venture partner.
