Flutter Entertainment has announced plans to eliminate as many as 1,400 jobs as it aims to restructure its business in response to a growing tax burden on the UK gambling industry.
The decision follows tax increases introduced in last year’s Autumn Budget, which have put additional pressure on betting and gambling companies. The layoffs will primarily affect staff in Leeds and Dublin, as well as UK&I roles based in offshore locations like Porto and Cluj-Napoca.
Implementing these measures is expected to cost the company between $80 million and $90 million, with the changes set to take effect in the fourth quarter of 2026. Currently, Flutter employs around 28,500 individuals worldwide, with approximately 9,000 working in the UK and Ireland.
Kevin Harrington, Flutter’s CEO for the UK and Ireland, stated, "As we warned a year ago, we cannot fully absorb a rise of this magnitude without reducing our fixed cost base and therefore must restructure our business so that we can best position ourselves for the future." Harrington expressed confidence that Flutter is well-positioned to capture market share as the largest operator in the UK.
This announcement is part of a broader trend among UK gambling firms facing increased taxes and stricter regulations. The Autumn Budget revealed that the remote gaming tax would nearly double from 21% to 40%, effective April 1 of this year. Furthermore, the remote betting tax will rise from 15% to 25% by April 2027, while local authorities have been given more power to restrict the opening of new retail gambling venues.
In response to these increasing expenses, several companies have started cutting costs. Betfred, for instance, has announced the closure of 132 betting shops, potentially leading to the loss of 600 jobs. Evoke has also closed more than 200 William Hill shops.
As the UK betting market gears up for the next budget announcement, speculation is mounting around a possible increase in machines games duty (MGD) to 40%, following a call from the Social Market Foundation to raise MGD on high-risk Category B machines. Recently, a group of Labour MPs, led by Alex Ballinger, urged UK Chancellor Jon Healey to consider this proposed increase in the upcoming budget.
